Transforming Logistics: Eastern’s Success with AI Route Optimization

Eastern is India's largest spice exporter, an established brand in the FMCG sector, with a range of quality spices and food products. With a diversified product portfolio of over 120 SKUs and a significant market in India's southernmost state - Kerala, Eastern has six plants strategically located across the country. To gain a competitive advantage and for the rising demand of customers, Eastern was looking to improve the efficiency of its delivery operations while minimising the operational costs involved in the logistics and supply chain operations.

Challenges

Eastern faced several logistical challenges in its extensive distribution network:

High Operational Costs: Inefficiencies in route planning contributed to excessive fuel consumption, impacting overall profitability.

Delivery Delays: Inefficiencies in delivery routes directly affected customer satisfaction and market share.

Inconsistent Productivity Among Field Staff: Without optimised routes, field staff productivity was affected, leading to variability in service quality.

Environmental Impact: Extended travel distances led to a larger carbon footprint, which conflicted with Eastern’s commitment to sustainable growth.

With these challenges in mind, Eastern aimed to improve route efficiency, reduce costs, and ensure timely deliveries to its customers across India.

Objectives

The objectives of this project included:

Reducing Travel Time: Minimise delivery time across Kerala and other key markets.

Enhancing Field Staff Productivity: Ensure that field staff could complete deliveries more efficiently.

Improving On-Time Delivery Rates: Increase service reliability to strengthen Eastern’s market position.

Aligning with Sustainability Goals: Reduce emissions and fuel consumption as part of Eastern’s commitment to sustainability.

Solution

To address Eastern’s logistical challenges, Crux Digits partnered with Reizend Private Limited to implement an AI-powered Route Planning and Optimization (RPO) solution. This innovative solution was customised to Eastern's unique distribution requirements, leveraging advanced technologies to optimise routes and reduce operational inefficiencies.

Key Solution Features

AI-Driven Route Optimization: Advanced algorithms dynamically calculated the most efficient routes for Eastern’s delivery network, reducing travel distances and idle time.

Real-Time Data Analytics: The solution incorporated real-time data, including traffic and weather conditions, to adjust routes on-the-fly, maximising efficiency.

Machine Learning Models: Predictive models analysed delivery patterns, making adjustments that continuously optimised route efficiency and productivity.

Intuitive Dashboard: A custom dashboard provided Eastern’s management with real-time visibility into delivery operations, allowing them to track performance and make quick decisions.

Implementation

The implementation process involved several stages to ensure smooth integration with Eastern’s existing operations:

Initial Assessment and Customization Our team, in collaboration with Reizend, assessed Eastern’s distribution data and customised the RPO system to meet specific needs, particularly for Kerala’s high-demand market.

Pilot Testing A pilot test was conducted in Kerala, Eastern’s primary sales region, to assess the RPO’s impact. This pilot phase allowed for adjustments before a full-scale rollout.

Full-Scale Deployment After successful pilot testing, the RPO solution was deployed across Eastern’s service areas. Training was provided to the logistics team and field staff, ensuring they could effectively utilise the new system.

Continuous Support and Optimization Ongoing monitoring and support from Crux Digits and Reizend ensured the solution’s sustained success.

Results

The AI-powered RPO solution delivered outstanding results for Eastern’s logistics operations:

15% Reduction in Travel Time: Optimised routing reduced delivery times significantly, enhancing customer satisfaction in Eastern’s key markets.

20% Increase in Field Staff Productivity: With streamlined routes, field staff were able to complete more deliveries within the same time frame, leading to higher productivity.

10% Improvement in On-Time Delivery Rates: Eastern’s on-time delivery rates improved, reinforcing its reliability and reputation in the market.

Reduced Environmental Impact: By cutting fuel consumption, Eastern lowered its carbon footprint, aligning with its sustainability goals and contributing to eco-friendly practices.

Through a successful collaboration with Reizend Private Limited, Crux Digits enabled Eastern to achieve substantial improvements in efficiency, customer satisfaction, and sustainability. This case demonstrates how AI-driven route optimization can empower logistics operations, providing a competitive advantage for industry leaders like Eastern.