Empty Runs in Road Freight Logistics: How a Transport Management Platform (TMP) Can Help You Avoid Them
Table of contents:
- What does “empty runs” mean?
- Why are empty runs so bad for transport companies?
- How can a transport management platform help you avoid empty runs?
What does “empty runs” mean?
Empty runs, also known as backhauls or deadhead miles, refer to the transportation of a truck, trailer, or container with no load. This happens when the vehicle has completed its delivery but has no cargo to transport back to its origin. Empty runs are a significant challenge in the road freight logistics industry and can have a considerable impact on the transport company's profitability, efficiency, and environmental footprint. In this article, we will explore the consequences of empty runs and how a transport management platform can help you avoid them.
Why are empty runs so bad for transport companies?
Empty runs are a significant issue for transport companies as they can lead to a range of problems that can negatively affect their operations. Firstly, empty runs increase fuel consumption and vehicle maintenance costs. Since the vehicle is travelling with no load, it is using the same amount of fuel to cover the distance as it would with a full load, resulting in a lower fuel efficiency rate. Moreover, the additional wear and tear on the vehicle can lead to higher maintenance costs, reducing the overall profitability of the operation.
Secondly, empty runs can lead to lost revenue. Transport companies earn money by transporting goods, so if a vehicle is empty, it is not generating any income. The longer a vehicle spends on an empty run, the more revenue is lost, and this can have a significant impact on the company's bottom line.
Finally, empty runs have a negative impact on the environment. The additional fuel consumption associated with empty runs leads to increased carbon emissions, which can harm the environment. As a result, there is growing pressure on transport companies to reduce their carbon footprint, and empty runs are a major contributor to this.
How can a transport management platform help you avoid empty runs?
Transport management platforms (TMP) are designed to optimize the entire logistics process, from planning and dispatch to execution and delivery. By using advanced algorithms and real-time data, these platforms, such as IMPARGO's TMP for carriers, can help transport companies avoid empty runs and improve their operational efficiency.
- Truck tour optimization: transport management platform can optimize route planning to reduce empty runs. By analyzing historical data and current demand, the platform can identify opportunities for backhauls and plan routes accordingly.
- Seamless collaboration: a transport management platform can facilitate collaboration between transport companies. By connecting with other transport companies in the same region, the platform can identify opportunities for backhauls and help companies find loads to transport. This not only reduces empty runs but also helps companies build stronger relationships and increase their revenue.
- Visibility and status checking: a transport management platform can provide real-time visibility into the status of each shipment. By tracking the location and status of each vehicle, the platform can identify opportunities for consolidation and optimize the entire logistics process. This not only reduces empty runs but also improves customer service and satisfaction.
Empty runs are a significant challenge in the road freight logistics industry, but they can be avoided with the help of a transport management platform. By optimizing route planning, facilitating collaboration, and providing real-time visibility, transport companies can reduce their fuel consumption, increase their revenue, and improve their environmental footprint.
As such, transport management platforms are an essential tool for any transport company looking to improve its operational efficiency and profitability.
