Efficiencies: Acceleration time

From route optimisation to warehouse management systems, Wholesale News explores the latest technologies to improve efficiency and wholesale operations

In wholesale, rising costs and ever-tighter margins leave very little room for inefficient processes and no capacity to carry additional, avoidable costs.

A major challenge is that so much warehouse work still depends on manual tasks, explains Tim Payne, CEO, Clarus WMS: “Checking stock, entering orders, producing reports, answering customer queries, managing exceptions, reviewing charges and chasing information across systems, this slows teams down and makes it harder to scale.”

For wholesalers looking for more control, fewer delays and less friction across the warehouse, the answer lies in an effective warehouse management system (WMS), says Payne: “Clarus WMS solves this by combining a modern, cloud-based Warehouse Management System with an AI assistant built to help users take action inside the system. It is designed to reduce the everyday admin that sits around warehouse operations so that teams can find information faster, complete tasks more easily and focus on the work that actually needs human judgement.”

As the wholesale sector moves towards more AI automation, it’s no surprise that this also includes WMS and other essential systems.

“AI has a role to play, but only when it is connected to the systems where the work actually happens,” explains Payne. “The best use of AI in wholesale will not be flashy. It will be practical.

“A chatbot sitting outside the warehouse operation will not fix the problem. Wholesalers need AI that understands warehouse data, works inside the WMS and helps users complete useful tasks safely and quickly, and this is where Clarus is focused.”

DIGITAL COLLEAGUES

By creating an AI assistant designed to work inside the WMS, users can interact with warehouse data using plain language. Instead of clicking through multiple screens or building reports manually, users can ask questions, find information, review issues and trigger controlled actions.

“This means the system becomes easier to use and faster to work with,” says Payne. “We are also building towards AI agents inside the WMS. These will act more like digital colleagues: able to support scheduled tasks, monitor activity, handle routine admin, produce reports, help with customer queries and flag issues before they become bigger problems.”

He is keen to reassure wholesalers that utilising AI is not simply jumping on board a trend or a fleeting fad: “Our USP is not AI as a gimmick. It is practical AI built into the warehouse system, focused on removing admin, improving visibility and helping wholesalers move faster without losing control.

“The pressure on wholesalers will not ease. Customers will expect faster answers. Margins will remain tight. Teams will need to process more work without simply adding more people. And warehouse systems will need to do more than record transactions after they happen.”

So, in short, they need to become more proactive? Payne agrees: “Yes, it won’t just show users where stock is but will help them understand what needs attention, recommend the next action, automate routine tasks and identify any problems before they become expensive.”

With AI, the AI assistants enable faster work inside the system, while AI agents will be able to take that further by supporting repeatable tasks such as scheduled reporting.

“For wholesalers, that means the WMS becomes less of a system people have to manage and more of an operational partner that helps the business save time, protect margin and improve service,” Payne added.

LOGISTICS INTELLIGENCE

Wholesale operations often run on a blend of legacy systems, spreadsheets and institutional knowledge. While this approach may work for a time, it can quickly become a barrier to efficiency and growth.

“The real cost isn’t visible on any one invoice,” comments Tevin Tobun, Founder & CEO at Routd Technology. “It’s the cumulative drag of inefficient routing, manual admin, poor stock visibility and a lack of actionable data across a fragmented delivery network.

“Wholesalers often know that something is going wrong but can’t pin down exactly where or why. That gap is what Routd was built to close.”

The next few years will separate wholesalers who treat logistics as a cost centre from those who treat it as a strategic asset. The businesses that compete most effectively will be the ones with the clearest picture of how their operations are performing in real time.

“Our USP is that we give wholesale operators the kind of operational intelligence that was previously only available to businesses with large in-house logistics teams,” continues Tobun.

“You get live visibility across your entire network, the data to make smarter decisions on routes and stock, and the administrative automation to free up your operations team from manual processes. The platform is configured around your KPIs, not ours.”

Routd’s AI logistics intelligence platform already helps clients to reduce unnecessary mileage, cut cost-per-delivery, and surface the kind of consumption and replenishment data that allows wholesale operations to plan more accurately and waste less. As the sector consolidates and margins tighten further, that operational intelligence will be the difference that matters.

“Demand forecasting and route intelligence is becoming a baseline expectation rather than a competitive advantage. Routd is built for that future,” Tobun assures.

ROUTE OPTIMISATION

Everyone knows that a wholesaler’s reputation can be made and destroyed by the strength of its delivery performance.

Many wholesalers have a core customer base, but increasingly unpredictable ordering patterns are making efficient route planning more challenging than ever.

“Today’s routing challenge is rarely the same as tomorrow’s,” explains James Gunn, Senior Account Manager at Descartes.

“That’s why wholesalers need route planning tools that can adapt to changing order volumes, fleet availability, vehicle capacity and customer demands.”

Customer loyalty has become less predictable, with buyers more willing to switch suppliers at short notice. As a result, established route plans can quickly become outdated and acquiring new customers often requires the addition of entirely new routes.

“Planners are having to take into consideration delivery volumes, vehicle capacity, drive time, traffic challenges, variable stop times and customer availability to accept incoming deliveries – all while trying to reduce distribution costs,” says Gunn.

On one day, the priority may be to minimise mileage because the full fleet is available. The next, the focus may shift to reducing the number of vehicles on the road to avoid hiring costly agency drivers when members of the team are on annual leave.

“The ability to remain flexible and adapt operational priorities in response to changing circumstances is essential for maintaining efficiency and protecting already tight margins,” Gunn explains.

Coupled with the ability to create and maintain master routes, the modern route-planning solutions offered by Descartes allow for faster optimisation while balancing day-to-day operational realities.

Whether the goal is to reduce miles travelled, maximise vehicle utilisation or lower overall distribution costs, having the flexibility to optimise against different objectives helps wholesalers continuously improve their cost to serve.

TRANSPORT

Within wholesale, fleet is another area of key concern as customer demand increases in complexity and vehicles must tick boxes for sustainability, practicality and affordability. As trucks and trailers evolve at pace, it can feel a significant pressure for wholesalers to keep their transport operations up to date and manageable.

“Transport is not a wholesaler’s core business and keeping up with its varied demands can be a real challenge,” says James Hunter, Sales Director, Dawsongroup.

Established more than 50 years ago as a contract hire, lease and rental business, Dawsongroup has evolved its offer for wholesalers to create a ‘smarter asset strategy’ of contract hire, lease and rent arrangements.

“We started life with simple spot hire rental, working closely with operators to adapt to the demands of each sector,” says Hunter. “Our products nowadays offer much broader financial economy and operational flexibility. Yes, you can still have short-term rentals, but you could also choose levels of simple leasing or the ‘full bells and whistles’ benefits of our tailored Contract Hire packages. Your own livery, full service and maintenance support, tax, tyres and all short-term DfT inspections.We call it ‘usership’ rather than the capital-intensive and management burdens of fleet ‘ownership’.”

WIN-WIN

Dawsongroup also ensures its 12,500+ fleet profile is kept up to date with many of the latest environmental technologies to ensure wholesalers can explore zero-emission options, such as gas and electric trucks, without investing capital on an immediately depreciating asset.

“We can do all the what-if sums for them and they can use their funds to develop their own business and its infrastructure. It’s a ‘win-win’ for both parties,” explains Hunter, although he is keen to help operators make the most of the vehicles out there right now.

“I am something of a crusader for our customers and the current diesel fleet,” he admits, explaining how the business is working with vehicle manufacturers, customers and its in-house driver training team to help operators to ‘do diesel better’.

“I’m sure that, by focusing on this, we can improve productivity, reduce operating costs and lower emissions yet further for the good of all,” he says.

AI Clarus WMS Dawsongroup delivery Descartes efficiencies James Gunn James Hunter Routd route planning Tevin Tobun Tim Payne transport warehouse management