Calculate Transport Costs

In the Planner Module, IMPARGO combines planning truck routes with figuring out vehicle costs. It uses profiles for vehicles, trailers, drivers, and subcontractors to do this. These profiles include information like how much fuel the vehicle uses, how far it goes in a year, what the tires cost, and more. This information helps calculate the cost per kilometer (€/km) and per hour (€/h) for vehicles and trailers, and just per hour for drivers. It takes into account both how far you go and how long it takes. The total costs, including tolls, are determined by applying these rates to the calculated route's distance and operational time.

To calculate transport cost for your own truck fleet follow these steps:

Step 1: Select cost profile.

• Navigate to "Vehicle & Trailer" or "Partner" section above the "Stops" section and open the submenu by clicking.
• Choose "Vehicle & Driver" (if not already selected), pick a “Vehicle”, a “Trailer”, and a “Driver”.
• The system will display the combination's cost in €/h and €/km in the respective section.

Step 2: Calculate route.

• Input start and end locations in the "Stops" section.
• For specific transport needs, add a pre-run, post-run, or for roundtrips, the return to the initial loading point.
• The system calculates the truck's route, including mileage, driving time, and tolls based on the entered route.

Step 3: Adjust operational time.

• Operational time combines pre-calculated driving time with additional time for waiting, breaks, and load/unload activities.
• Adjust additional time at each stop using the (+) button next to the address field or via the “Additional Time” slider in “Route Options” section. You will instantly see the time adjust at the bottom of the map, along with the corresponding cost adjustments.

Default stop times can be set in → general settings, applying individually to each stop but can be overridden at any stop.

In IMPARGO's truck route planner, accurately calculating route costs is vital for financial planning. This calculation includes fuel, tolls, extra fees, and costs related to subcontractors, providing a comprehensive view of expenses. By incorporating specific costing for transporting goods, it enhances logistics planning, pricing, cost management, and profitability. This approach aids in effective budgeting, choosing the best routes, and making strategic decisions, thus improving logistics efficiency and cost-effectiveness.

The Planner Module of IMPARGO simplifies the integration of truck route planning and subcontractor cost assessments. Subcontractor profiles are calculated differently, including costs by full and empty mileage, by mileage, or by daily rates. Total costs, inclusive or exclusive of tolls, are precisely calculated by applying these subcontractor rates to the route's distances.

To calculate transport cost for your subcontractors' trucks, follow these steps:

Step 1: Select cost profile.

• Navigate to "Vehicle & Trailer" or "Partner" section above the "Stops" section and open the submenu by clicking.
• Choose "Partner" (if not already selected), pick a “Partner”.
• Choose your subcontractor rate. Based on the model type (daily rate, mileage rate or full and empty mileage rate) the system will display the corresponding rates.

Step 2: Calculate route.

• Input start and end locations in the "Stops" section.
• For specific transport needs, add a pre-run, post-run, or for roundtrips, the return to the initial loading point.
• The system calculates the truck's route, including mileage, driving time, and tolls based on the entered route.

Step 3: Make adjustments based on subcontractor profiles.  
IMPARGO provides three subcontractor cost profiles, necessitating specific adjustments as follows:

• Rate by mileage: This profile charges a per kilometer rate for the distance covered. Waiting time costs, maintained in this profile, are adjusted via the "Additional Time" slider under "Route Options". → Learn more.
• Rate by full and empty mileage: This profile differentiates between loaded and empty distances, applying specific rates for each. Identify a leg as loaded by selecting the "Loaded" checkbox within the "Stops" section. For transitions between unloading and loading points, an empty kilometer rate applies up to a specified maximum distance after that the full kilometer rate applies. → Learn more.
• Rate by day: Applies a daily rate based on a default 8-hour operational period. Divide the total operational time by 8 to calculate the number of days (rounded up). Adjust for additional operational time at the stop or transport level to ensure accuracy. The summary section on the bottom of the map allows for manual adjustment of days calculated. This profile includes a free distance covered by the daily rate, with each additional kilometer incurring a specific charge per kilometer. Toll costs can be included or excluded from this calculation. → Learn more.

Based on your transport costs, the system can calculate the recommended offer price for you. Update the general cost settings like fuel price, adblue price, interest rate and margin to make sure your calculated cost are in line with your real costs. 

Here's how you can calculate a profitable transport offer price according to your company pricing structure:

Step 1: Access general settings.  
Our settings are now easier to find and more powerful than ever! Access them in the bottom-left corner of the sidebar to adapt and optimize them for your needs. Here are some highlights of what you can now customize:

• Email Notification Settings: Choose when and how you want to receive email updates.
• Incremental Order Reference Numbers: Automatically create unique reference numbers for your orders.
• Users Management: Invite colleagues, assign roles, and control access with ease.
• Custom Fields: Personalize TMS fields to align with your workflow.
• Address Categories: Create custom address categories with colors and pins to streamline planning.
• Automation and Alerts: Set up automatic notifications for delayed drivers or deviations from the planned route.

Step 2: Adjust general settings.  
Adjust fuel price, adblue price, interest rate as well as margin. 

• Margin: This value denotes the profit percentage added to your costs, influencing the recommended price within the Planner Module. It encapsulates the transport's profit margin. It's important to note that this profit must cover administrative expenses, potential empty runs, and waiting times, if you do not detail the calculation in the Planner. For a more detailed breakdown, utilize the "additional charges" feature or incorporate empty runs into your planning.
• Interest rate: The interest rate reflects your capital costs, corresponding to the expected return on capital for your company. It's crucial to align this rate with your company's financial objectives.

Cost profiles are the foundation of accurate cost calculations, tailored to the specific characteristics of your vehicles and trailers. By customizing these profiles, you ensure that your pricing strategies reflect real-world data, enhancing the precision of your cost management. This enables you to make informed decisions that optimize efficiency and profitability.

To edit or add a company-owned vehicles and trailers, follow these steps:

Step 1: Access vehicle or trailer profiles.  
In the sidebar to the left, click on the truck icon (tooltip: “Vehicles & Drivers”) to display a table of all vehicles. Click on the tab “Trailers” to view all trailers.

Step 2: Add a vehicle/trailer.  
Click “Add vehicle” or “Add trailer” to create a new profile. A dialog box will appear, allowing you to input all relevant profile settings. 

Step 3: Setup profile.

• Enter the description and license plate number.
• Only for vehicles: Choose a trailer to permanently connect the vehicle to a trailer. The trailer then will be automatically selected, if you select the vehicle in the Planner or the Order Modules. Select “None” if you want to choose the trailer independently from the vehicle in the Planner and in Orders Module.
• Choose between simple and advanced cost profiles: With simple cost profiles manually add €/km rate and €/h rate. With the advanced cost profiles provide detailed vehicle costs for automated calculation of rates per km and per hour, based on a German standard for vehicle cost calculation.
• Update routing, emission, and toll parameters, including axle count, gross vehicle weight, and EURO and CO2 emission classes.

Step 4: Edit, duplicate or delete vehicles.  
Options to edit, duplicate, or delete profiles are available on the table’s right side within the “Actions” section.

Note: 

• Blue icons marked with an "i" are informational tooltips that explain functionalities or fields when hovered over.
• In vehicle profiles, only include the vehicle's axle count; in trailer profiles, only the trailer's axle count. These counts are essential for accurate truck routing and toll calculation when both vehicle and trailer are selected.

The IMPARGO vehicle cost calculation standard comprehensively accounts for both financial and operational cost factors to ensure a thorough and accurate assessment of vehicle expenses. 

Key factors affecting the vehicle cost calculation standard include:

A. Finance-related information:

• Finance Type: Differentiates between purchase and lease options.
• Vehicle Purchase Price: Purchase price (without VAT) at which the vehicle was actually procured (new or used vehicles).
• Lifetime: EPeriod in which the equipment is expected to be used (i.a. 3-6 years).
• Mileage: Anticipated total mileage over the vehicle's lifetime.
• Residual Value: Estimate of the resale value after expiration of the service life. For a service life of 3 years, the real residual value is assumed to be between 25-45%.
• Working Days: Number of operational days per year.
• Working Hours: Number of operational hours per day.

B. Operational costs:

• Usage Type: Short-haul or long haul.
• Fuel Consumption: Average fuel consumption per 100 km across all application areas and routes.
• Lubricants: Percentage of lubricant costs (oil and others) in relation to fuel costs.
• Tire Costs: Total cost of tires per year (rule of thumb: 1 set of tires per year). If necessary, costs for tire break-downs are included here.
• Tax Costs: Vehicle-related taxes.
• Insurance Costs: All insurance premiums incl. liability insurance, comprehensive insurance, transport insurance or cargo damage insurance.
• Vehicle Service Costs: Additional costs for internal and external repairs are only to be stated if you do not have a maintenance or full service leasing contract or if the costs are in addition to the monthly costs of a maintenance or full service leasing contract.  Cost of care (rule of thumb: for care you estimate about € 0.05 per kilometer driven).

Driver cost profiles are essential for accurate cost calculations, reflecting the specific expenses associated with your drivers. By customizing these profiles, you ensure that your cost management strategies are based on precise, real-world data. This allows you to make informed decisions that enhance efficiency and profitability.

To edit, delete or add a driver profile follow these steps:

Step 1: Access driver settings.  
In the sidebar to the left, click on the truck icon (tooltip: “Vehicles & Drivers”) to display a table of all vehicle profiles. For drivers, select the “Drivers” tab at the table's top.

Step 2: Add a profile.  
Select “Add driver” to create a new profile. A dialog box will appear, allowing you to input all relevant profile settings. Options to edit, duplicate, or delete profiles are available on the table’s right side.

Step 3: Setup profile.

• Enter the driver name.
• Choose between simple and advanced cost profiles. With simple cost profiles manually add €/h rate. With the advanced cost profiles provide detailed driver costs for automated calculation of rates per hour.

Truck driver related costs are:

• Wage: Average annual gross salary (possibly including 13th monthly salary) of the truck driver used on the vehicle.
• Social charges: Social security rate and contributions to the employers' liability insurance associations. As an example, the rate is approximately 26% in Germany and 2,5% for Romania. Please check the rate of your country.
• Additional costs: Includes holiday pay, Christmas bonus, bonus and expenses. Expenses are in Germany for tours greater than 8 hours 12 €, greater than 24 hours 24 € and for a overnight stay 20 €. Consider for multi-day tours in average between 16-20 € per day.
• Working days per year: Real working days of the driver (without holidays or sick days).
• Working hours per day: Working hours per day according to employment contract (generally 8 hours).

Subcontractor cost profiles are crucial for accurate cost calculations, reflecting the specific expenses associated with your subcontracted transport services. By customizing these profiles, you ensure that your cost management strategies are grounded in precise, real-world data. This allows you to make informed decisions that enhance efficiency and profitability.

To edit or add a subcontractor cost profile follow these steps:

Step 1: Access partner settings.  
In the sidebar to the left, click on the shaking hand icon (tooltip: “Partners”) to display a table of all parnter profiles.

Step 2: Add a profile.  
Select “Add Partner” to create a new profile. A dialog box will appear, allowing you to input all relevant profile settings. Options to edit, duplicate, or delete profiles are available on the table’s right side.

Step 3: Setup profile.  
Add name and email address of the partner. 

IMPARGO provides three subcontractor cost profiles types. Select one of the following types:

• Rate by mileage: This profile charges a per kilometer rate for the distance covered. Waiting time costs, maintained in this profile, are adjusted via the "Additional Time" slider under "Route Options".  
  • Price: Amount per kilometer, which is credited for a truck.
  • Waiting time: Amount per hour, which is credited for additional operating time added via the “Additional time” slider.
  • Include tolls: Activate this tick box and add the toll costs on top of the subcontractor cost calculation.
• Rate by full and empty mileage: This profile differentiates between loaded and empty distances, applying specific rates for each. Identify a leg as loaded by selecting the "Loaded" checkbox within the "Stops" section. For transitions between unloading and loading points, an empty kilometer rate applies up to a specified maximum distance after that the full kilometer rate applies. Add following attributes:
  • Price (loaded truck): Amount per kilometer, which is credited for a loaded truck.
  • Price (empty truck): Amount per kilometer, which is credited for an empty truck
  • Max. empty distance: Maximum distance between two loading points without load. If this distance is exceeded, the price per mileage for a loaded truck is applied.
  • Waiting time: Amount per hour, which is credited for additional operating time added via the “Additional time” slider.
  • Include tolls: Activate this tick box and add the toll costs on top of the subcontractor cost calculation.
• Rate by day: Applies a daily rate based on a default 8-hour operational period. Divide the total operational time by 8 to calculate the number of days (rounded up). Adjust for additional operational time at the stop or transport level to ensure accuracy. The summary section on the bottom of the map allows for manual adjustment of days calculated. This profile includes a free distance covered by the daily rate, with each additional kilometer incurring a specific charge pre kilometer. Toll costs can be included or excluded from this calculation. Add following attributes:
  • Daily rate: Amount per day, which is credited for the use of the truck.
  • Free distance: Distance per day, which is compensated with the daily rate.
  • Price additional: Price applied to the kilometers not included in the daily rate.
  • Include toll: Activate this tick box and add the toll costs on top of the subcontractor cost calculation.

With IMPARGO TMP®, you can gain detailed insights into various cost components, such as vehicle, driver, and subcontractor expenses. This enables you to identify cost-saving opportunities, improve operational efficiency, and make data-driven decisions.

To view the cost analysis for a transport follow these steps:

Step 1: Access the analysis modal.  
Navigate to the Planner Module and click on the chart icon located at the top right corner (tooltip: “Open Analysis Modal”). This action will display a pie chart providing a detailed breakdown of costs. The Analysis Modal presents a visual overview of total costs alongside the distance covered in each country.

Step 2:  View detailed costs.  
To examine specific cost details, hover your cursor over the sections of the pie chart. This will reveal the precise cost figures.