23rd October 2009

HERMES OPTIMISES DISTRIBUTION OPERATION

Hermes, the UK's largest courier home delivery network, is looking to drive efficiencies and performance benefits across its transport operation as part of an initiative to optimise its end-to-end supply chain. As part of the scheme, the company has selected Paragon to develop a routeing and scheduling software solution for its fixed route delivery operation.

Hermes identified a need to move from manual planning procedures at depot level to a centralised process that would better control 350 vehicles operating between 18 locations within the UK. As a result, the company will be able to plan, optimise and manage daily transport schedules based on order volumes, rationalised fixed routes and distribution modeling to improve vehicle efficiency across the depot network.

The initiative is designed to achieve a range of operating efficiencies in terms of vehicle mileage, fuel consumption, tyre usage, servicing and maintenance, and driver hours. This will improve the performance of the distribution network by decreasing carbon emissions, shortening delivery lead times and enhancing customer service.

Carole Woodhead, CEO of Hermes commented: "We are committed to optimising our distribution network to support our ongoing growth strategy in the UK and mainland Europe. This will enhance Hermes' ability to offer fast, flexible and efficient home delivery solutions and provide an unrivalled service to our customers."

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