Case Application :

Herms: Delivering change

8-14. How can a planning and mapping software help Herms to achieve a 95

percent first-time delivery target?

this is the artical

Planning on 1 Herms: Delivering change PPLICATION 1 Herms: Deliver ience in the business, Austria, Germany, Italy, and Russia. Herms is a pan-European courier company with hover 10.000 self-employed cou- In the United Kingdom, Hermes handle riers and a network of 4.500 Parcel She l is the key element in ermits needed a way to move courier network, Herms needed to European courier company with over 40 years experience in the It operates primarily in the United Kingdom, Austria Germ Hermes handles more than 245 million parcels a year. It al on the growing "gig economy employment trend with over 10.000 se of 4.500 Parcel Shops. Hermes provides door-to-door services retailers including Next, ASOS, John Lewis, and Tesco with a large and disparate workforce, planning and control is the key el that the network remains effective and robust. Herms needed a way management of their U.K. courier network to decision makers on th the day-to-day management of their U.K. courier around. Given the unpredictable demands on th courier network, Herms ne allocate delivery rounds quickly if one courier was overloaded and an other in an adjacent area had capacity to take up the extra work. In the United Kingdom, there are 1.8 million unique postcode addresses. Hermes h allocated the 10.000 couriers to a number of these postcodes. The network therefore, extremely granular and subject to enormous changes on a daily basis. While initially employing a centralized system to create and update courier rounds. Hermes realized this was time consuming and that the delivery maps produced became out dated by the time the couriers started their deliveries. Herms needed a management planning tool to optimize its network and assess what-if scenarios. In designing the new tools, Herms decided to opt for a dynamic online mapping system that allowed them to create, view, organize, and manage the courier rounds! The key elements include the viewing tools (allowing users to visualize the territories and courier rounds), the planning and operations tool allows field management to change the structure of territories and submit their suggestions for approval), and the scenario planning tool (allows the central operations team to optimize and model territories to identify any possible efficiencies to the structure). The new planning sys. tem enables the 200 field managers to make subtle and real-time adjustments to their operative areas on a local and tactical level. It also allows the central management a chance to look at the impact and effectiveness of the changes and then approve the changes in a matter of minutes. The key benefits of the new planning tools had a direct and positive impact on the goals of the organisation. There were operational savings (expenses and delivery costs were cut) and an improvement in service performance and efficiency. Courier turnover dropped as network members had a more even workload. It provided a holistic view of the network, allowed peak planning, and a continuous review of the network. w of the network. Field managers can access the system via an iPad and they can make and see their planning changes immediately The new planning system is scalable: so as Herms continues to grow, they nize the need to make continuous and significant changes to their netwo The system allows Hermes to visualize and identify existing and potential pro and model solutions for them. The system allows entering the U.K. Herms network by Decembe Herms network by December 21, 2016, would have at least on delivery attempt, or Hermes would refund the delivery charge. DISC inges to their network structure. sting and potential problems to pledge that every parcel