Route Optimization
Route Optimization is the use of advanced algorithms to automatically design efficient travel plans for fleets that must visit many stops under time, capacity, and regulatory constraints. Instead of relying on static plans or manual dispatching, these systems continuously compute and recompute routes to minimize distance, fuel consumption, and driver hours while meeting delivery time windows and service-level commitments. This application matters because transportation and logistics operations operate on thin margins, and even small percentage improvements in miles driven, on‑time performance, and asset utilization translate directly into significant cost savings and better customer experience. AI techniques allow these optimizations to be run at large scale and in real time, incorporating live traffic, demand changes, and operational constraints that traditional planning tools cannot handle effectively.
The Problem
“Your dispatch team is guessing routes—miles, overtime, and late stops are the tax”
Organizations face these key challenges:
Routes are built in spreadsheets or dispatcher tribal knowledge, so outcomes vary by planner and shift
Late deliveries spike when orders change mid-day (same-day adds, cancellations) because replanning is slow
High empty miles and inefficient stop sequencing inflate fuel costs and driver overtime