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    FreightBestPractice

    Key Performance Indicators for

    Food and Drink Supply Chains

    2009

    Ben

    chmarkingGu

    ide

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    AcknowledgementsThanksareduetothefollowingbusinesseswhichtookpartintheSurvey.Thetimeandeffortputinbytheirstaffinattendingworkshopsandgatheringdataisgreatlyappreciated.

    Drink

    AdnamsBargainBoozeEverardsBreweryFullerSmith&TurnerInbevNorbert-Dentressangle(Threshers)ShepherdNeameWaverleyTBSWincantonFoodACS&T LangdonsApetito NestleAsda NorfolkLineBooker PepsicoColdMove Re-VisionLogistics(NISA)Co-op SamworthDistributionStobartGroup TDGStone(JSainbury)FineLadyBakery TescoGist UnitedBiscuitsGreatBear VitacressHowardTenens Wincanton(Heinz)KeystoneDistributionUK

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    ContentsForeword iv

    1 Introduction 12 TheKeyPerformanceIndicators 3

    2.1 SurveyStatistics 42.2 TheSurveyDay 52.3 VehicleFill 52.4 EmptyRunning 72.5 TimeUtilisation 82.6 Delays(DeviationsfromSchedule) 132.7 ConsumptionandEnergyEfficiency 152.8 OperatingRestrictions 192.9 FuelUseandEmissionsStandards 19

    3 Conclusions 213.1 LevelsofEfficiency3.2 Summary

    2122

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    ForewordTheroleofKeyPerformanceIndicatorsiswellknownandestablishedthroughoutallsectorsofindustry.Theyprovideasimple,focussedmeasureofperformance,

    and

    so

    provide

    management

    with

    a

    short,concisepictureofwhatishappeningintheiroperation.Overthepastfewyears,theDepartmentforTransport,throughtheFreightBestPracticeprogramme,hassupportedanumberofsurveysthathavedevelopedarangeofKeyPerformanceIndicators(KPIs)inavarietyofindustrysectors.TheKPIshaveprovidedthoseinthefreightindustrywithaconsistentmeasureofthelevelsofefficiencybeingachievedwithintheirsector.Comparing,orbenchmarking,theirownperformanceagainstthoseKPIsprovidestheopportunitytofocusonthoseaspectswhicharemostlikelytoyieldperformanceimprovement.ThisBenchmarkingGuideaimstoprovideoperatorswiththosecriticalcomparisons,andhencetohelpthemimproveefficiency,reduceoperatingcostsandtoreducetheimpactofroadtransportontheenvironment.

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    1. IntroductionAsfarbackas1992theDepartmentoftheEnvironmentsupportedaprojectonimprovingvehicleefficiencythroughaerodynamics,throughtheEnergyEfficiency

    Best

    Practice

    programme.

    This

    was

    followed

    bytheestablishmentofadiscretetransportefficiencyprogrammein1994,whichby2005hadevolvedintotheFreightBestPracticeProgramme.Workwithinthefoodsectorstartedin1997,andwasfollowedbylargerSurveysin1998and2002.ThesubsequentSurveyin2007,forthefirsttime,includedthedrinkssector.IneachcasetheresultsoftheSurveyenabledparticipantstobenchmarktheirindividualperformanceagainstthatofothercompanieswithintheirsector.The2009Survey,whichagainincludesthedrinkssector,followsthenaturalprogressionofearlierworkandshowsacontinuingcommitmentbytheDepartmentforTransporttoprovideroadvehicleoperatorswiththemeansbywhichtocomparetheiroperationalefficiencywiththeirpeergroup.Thosecompanieswhohaveparticipatedregularlynowhaveanadditionalmeasureoftheirprogressovertheyears,andallroadfreightoperators,bothwithinthefoodanddrinksectorsandothers,haveanotherbenchmarkofoperationalperformanceagainstwhichtomeasureandcomparetheirownoperationaleffectiveness.

    TheoverallaimofthisSurvey,andindeedtheoneswhichprecededit,istostimulateandsupportexistingeffortstoimproveefficiencyintheoperationanduseofvehiclesby:

    ProvidingmeasuresofefficiencylevelsbeingachievedinthefoodanddrinkssectorsEnablingcompaniestomeasuretheirownefficiencyagainstthatoftheindustryasawholeStimulatingandsupportingexistingeffortstoimproveefficiencyintheoperationanduseoftheirvehicles.

    OntheSurveyday12March2009theactivitiesofover4,700tractorsunits,trailers,andrigidswerecloselymonitoredandrecorded.Allofthesevehicleswereoperatinginthefoodanddrinkssectors,andcoveredthemovementofproductfromproducerstotheultimatepointofsale.Thedatagatheredenabledtheoperationalefficiencyofthosevehiclestobeanalysed,andmeasuresofthatefficiency,i.e.KeyPerformanceIndicatorswereestablished.Comparisonswithprevioussurveyswillshowgeneraltrendsandthelevelsofefficiencywithinthesector.However,therehaveinevitablybeendifferencesinthefleetmixinthevariousSurveysandisimpossibletobesurethattheresultsrepresentanabsolutelikeforlikecomparison.TheSurveygatheredinformationinthreebroadcategories:

    Generalinformationcoveringthedetailsofthevehiclesbeingsurveyedsize,type,capacity,age,fuelconsumptionDetaileddataonajourneybyjourneybasis,foralljourneysundertakenduringthesampleperiodAnhourlyauditofvehicleactivityduringthesampleperiod.

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    Asin2007thisSurveyhasincludedtractorunitsaswellassemi-trailersandrigids.Inordertomaketheresultsasreliableaspossible,and,therefore,themostusefulbothtoparticipantsandsubsequentusersoftheGuide,itisimportantthatdatagatheringiscarefullyprescribed.Standardisedsoftwarewasusedasthemediumtoassembletheinformationandenablecomputeranalysis.Followingtheuseofa24hourdatasamplingperiodin2007itwasdecidedthat24hourswasperfectlyadequate.Ashadbeenexpectedthereductionto24hoursimposedlessdatagatheringonparticipantswithoutdetractingfromthevalueoftheresults.Abroadmeasureofweeklyactivity,anddailyactivityforeachdayofthesurveyweekwasalsogatheredforeachfleet.ThisprovidedameasureofvariationsinthroughputandhencethevalidityofthechosenSurveydateandday.

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    2. TheKeyPerformanceIndicators

    ThemainKPIsusedinthe2009Surveywerethesameasthoseusedinthe2007andearlierSurveys.Withdueregardtothecautionexpressedaboveaboutlikefor-likecomparisons,thisSurveydoesprovideoperationalmeasureswhichcannowbetracedbackformorethantenyears.ThemainKPIswere:1. VehicleFillThisisthemeasureofloadcarried,comparedwithvehiclecapacity,oneachvehiclejourney.Thiswasmeasured,forthefoodsector,byloadheight,payloadweightandloadunitnumbers.FormostloadsinthefoodSurveyproductwascarriedinunitloads,i.e.arollcageorwoodenpallet.Wherethiswasnotthecase,conversionfactorswereusedtoenablethecreationofapallet-equivalentmeasure.For2009onlyoneversionofthesoftwarewasused,andalldrinksfleetsusedtonnageastheirloadmeasure,aswasthecasein2007.Thetonnagemeasurecanonlyberegardedasprovidinganapproximationofloadvolumesinceinitselfitgivesnoindicationofloadmix,i.e.kegs/casks/cases,cans,bottlesetc.Howeveritiswidelyusedintheindustryandwasthemeasureusedbyallparticipants.2. EmptyRunningThisisthedistancewhichavehiclerunsempty,thatisnotcarryingproductorequipment,usuallythefinallegofajourneywhenthevehiclereturnstodepotormovesontoanotherpointatwhichitcollectsafurtherload.3. TimeUtilisationThiswasthemeasureofwhatvehiclesweredoingateachhourthroughthesampleperiod.Thesevencategoriesusedwere:runningontheroad,awaitingloading/unloading,beingloaded/unloaded,pre-loadedandawaitingdeparture,driverdaily(overnight)restperiod,vehicleidle(emptyandstationary)andmaintenanceorrepair.

    Additionally,fortractorunitsonly,therewasrunningsolo(i.e.ontheroadbutwithoutasemi-trailer).4. Delays(formallytermedDeviationfrom

    Schedule)ThisisthemeasureofthedelayssufferedbythevehiclesintheSurvey.Categoriesofdelaywere:lackofdriver,delayatvehiclesownbase/pointofdeparture,delayatacollectionpoint,delayatdeliverypoint,trafficdelay,vehiclebreakdown,vehicleaccident.5. FuelconsumptionDatawasrequestedforeachvehicletypewithintheSurvey.Performanceoverasustainedperiodwasrequiredandsodatacoveringthreewintermonthswasrequested.Theunitofmeasureforfuelconsumptionisagainmilespergallon.Operatorfeedbacksuggeststhatmilespergallon(mpg)isstillthemeasurewhichpeopleuseandrelatetomostreadily.TheSurveycoveredallaspectsofthemovementoffinishedfood,i.e.foodthatisreadyforsaleratherthanrawmaterials.Definitionswereprovidedforcompaniestakingpartsothattheallocationoffleetstoparticularpartsofthesupplychainwouldbeasconsistentaswasreasonablypracticable.Activitieswereseparatedinto:

    Primary:Movementofsaleableproduct,workinprogress,returns,packagingorhandlingequipmentbetweenasupplierandfactory/factoryandNDC/NDCandcustomersRDC,HubdepotorWholesaledepotincludingC&CsSecondary:MovementofsaleableproductfromretailerRDCorFoodServiceHubdepotintoretailoutletorpickingdepot.Inaddition,thereturnofequipmentorgoodsfromoutlettoRDCorHub.Tertiary:Movementofsaleablegoodsfromafactory,regionalorpickingdepot,includingwholesaler,intothefinaloutletwhereproductisconsumedi.e.home,pubs&clubs,smallindependentcornershops,retailforecourtsorrestaurants

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    Figure1 FoodDistributionChannels

    2.1. SurveyStatistics Table2 Survey Statistics (drinks)Atotalof78fleets,frombothfoodanddrinkssectors,participatedintheSurvey.

    2007 2009No.offleets 22 36TractorUnits 363 70Trailers 644 136RigidvehiclesJourneysTonnesdelivered

    268956

    12,716

    374507

    2,943Kilometrestravelled 172,028 95,311

    Thefleetssurveyedcomprised1,436tractorunits,2,765trailers,and559rigidvehicles.Duringthe24hoursthefoodsectorvehiclesdeliveredover56thousandpalletequivalents,andthoseinthedrinkssectordelivered2,900tonnesofproduct.Totaldistancerunforbothgroupsofvehicleswasalmost800,000kilometres.Tables1and2showtheSurveyStatistics.

    Table1 Survey Statistics (food)1998 2002 2007 2009

    No.offleets 36 53 91 42TractorUnits 1,393 1,446 2,286 1,366Trailers 1,952 3,088 4,052 2,629Rigidvehicles 182 546 1,362 185Journeys/24hrs 2,012 3,034 7,064 2,499Palletsdelivered/24hrs 103,101 110,329 147,645 56,147Kilometrestravelled/24hrs 580,956 727,111 1,226,408 693,833

    NBPriorto2007Surveyscoveredone. twodays,andtheSurveysin2007and2009coveredonly

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    2.2 TheSurveyDayAsin2007theSurveycoveredasingleday.Activityonthesampleday(Thursday)comparedtotheremainderof

    the

    week

    is

    shown

    in

    Figure

    2.

    Figure2 Percentageofvolumedeliveredacrosstheweek

    2.3 VehicleFillFoodThemeasurementofvehiclecapacityinthefoodsectorisrelativelycomplex.Vehicleswilleitherweightout,i.e.thepayloadlimitisreached,or,moreusually,theywillcubeouti.e.thevehicleisfilledbeforereachingitsallowedpayloadlimit.Forthissurvey,aswiththepreviousones,thefundamentalunitusedwasthepallet,beingregardedashavingbasedimensionsof1mby1.2m.Wherecompaniesuseddifferenthandlingmethodsrollcages,cartons,ordollieswithtoteboxesforinstancethenumberofthesecarriedwasconvertedintopalletequivalents,thatis1.2squaremetresofvehicledeck

    space.TheSurveyalsoaskedfortonnagecarriedandforvehiclecarryingcapacity.Thesecondkeymeasurewastypicalheightofaloadwithinthevehicle.Participantswereaskedtoprovideanestimateofthetypicalloadheightprofileacrosstheiroperation.TherewasnorequirementtomeasureactualloadsonthedayoftheSurveyduetoanticipatedpracticaldifficulties,butmostoperatorswereabletosupplyrepresentativenumbersfortheirtypicalloadheightprofile.TheaverageheightusedonladentripsisshownbelowinFigure3Figure3 Distributionofheightsonloadedvehicletrips(food)

    Theresults

    show

    that

    many

    companies

    are

    unable

    to

    fullyutilisethetypicalavailableheightwithinastandardvehicleofaround2.1metres,whichallowsforaircirculationintemperaturecontrolledvehicles.Acrossalltripsinthesurveyonthesampleday,themeanheightutilisationfigurewas68%,around4%lowerthanthatin2007Table3showsachangeinprofilesincethe2007survey,withmorevehiclesbeingloadedtoheightsoflessthan1.7m.Table3 Vehicle height utilisation (food) %age oftrips by height used

    2007 2009under0.8m 5% 7%0.8 1.5m 28% 36%1.5m 1.7m 32% 29%Over1.7m 35% 28%

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    Thisappearstobeanopportunityforsignificantimprovementbutthereareanumberofobstacleswhichpreventusingthecube.Theseincludeaninabilitytostackcertainproductsduetofragilityorinstability,orarequirementtosupplypalletsofaparticularheighttocustomers,oracustomerrequirementforsinglestackingtofacilitatetheirownhandlingmethodology.TheaverageutilisationatthestartofjourneysforeachfleetisshowninFigures4and5.Figure4 Averagedeckutilisationbyfleet(food)

    Figure5 Averageweightutilisationbyfleet(food)

    Takingallfoodtripswithinthesurveytheaverageutilisationatthestartofthejourney,measuredbyuseofdeckspace,was83.1%,andbyweightwas57.2%.Acrossthethreeactivitystreamsinfoodthelevelsofutilisation,measuredatthestartofthevehicles

    journey,wereasshowninFigure6below.Figure6 Vehicleutilisationbyactivity(food)

    DrinksTheaverageheightusedonladentripswithinthedrinkssectorisshownbelowinFigure7.Figure7 Distributionofheightsonloadedvehicletrips

    (drinks)

    Utilisationofheightwithindrinksfleetsistoalargeextentgovernedbymethodologyused.Manydrayoperationscarrykegsandcasksloosewithintheload,andsostacking,toanygreatextent,isnotpractical.Theprimaryfleets,deliveringmainlyintothefoodretailandwholesalesectorscanstackpalletsofcannedorbottleddrinks,andbytheuseoflocatorboards,canalsostackkegsandcasks.AcrossalljourneysintheSurveyonthesampledaythemeanheightutilisationfigurewas58%.

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    Table4 Vehicle height Utilisation (drinks) %age oftrips by height utilised

    under0.8m2007 200913% 6%

    0.8 1.5m 48% 71%1.5m 1.7m 39% 21%Over1.7m 0% 2%

    Withindrinksthemeasureusedforvehicleutilisationisweight,andFigure8showstheaverageweightutilisationatthestartofatripforeachfleet.

    Figure8 Averageweightutilisationbyfleet(drinks)

    TakingeverytripbyalldrinksvehicleswithintheSurveytheaverageweightutilisationwas56.7%.Inthecaseofdrinksvehicles,particularlydraysonpub/clubdeliveries,mostoperatorsusetonnageincludingkeg/caskbeerandbottledbeers,wines,spiritsandsoftdrinks)asameasureofvehiclefill.However,althoughkegsorcasksareheavy,thevehicles

    rarely

    use

    their

    full

    weight

    carrying

    capability.

    Vehicleoperatorsuseanotionalvehiclecapacity,intonnes,forloadplanning,basedontheirexperienceofwhatwillfitontovehicles.Thisnotionalcapacityisrarely,ifever,thesameasthevehicleslegalweightcarryingcapacity,andthereisoftenadifferenceofseveraltonnesonatypical17/18tvehicle.Duetotheinherentdifficultiesofhandlingandsecuring,kegsandcasksarerarelystackedondraysandsotheloadheightisusuallylow.

    2.4 EmptyRunningEmptyrunningiswidelyseenasthebaneofcommercialvehicleoperationsinceitusuallyrepresentsmileagewhichisbeingrunwithoutdirectcommercialbenefitorpurpose,atbestreturningormovingontocollectanotherload.Ofthe789,000kilometresrunbythevehiclesduringtheSurvey,just22.9%offoodvehiclekilometreswereempty,whilethecorrespondingnumberfordrinkswas19.5%.Theseshowaslightimprovementsince2007whenthecorrespondingfigureswere23.7%and20.3%.Thequestionofemptyrunningismademorecomplicatedinthefoodsectorbytheusebymanyretailersofroll-cagesfortheinboundsupplytotheirstores.HavingbeendeliveredtostoreswithproducttheymustofcoursebereturnedtoDistributionCentresforre-filling.Thisreturnjourneytakesupavehiclesloadspace,evenwhentheroll-cagedesignallowsthecagestobenestedwhenempty.Sincethecageisemptyitcanbearguedthatthevehicleisalsoempty,sinceitcarriesnosaleableproduct,andthatthecarriageofemptyroll-cagesistheresultofthemodeofdeliveryoperationchosenbythatretailer.Thealternativeviewisthatavehicleloadedwithemptyroll-cagesisfull.Whatevertheview,inpracticethecarriageofemptyrollcagestakesupspaceandpreventsthecarriageofother,usuallypalletisedgoods,suchasnewproductfromasupplier.Theproportionofemptykilometresrun,i.e.thosewithoutanyproduct,isshowninFigure9.Figure9 Proportionofkilometresrunempty,(food)

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    Emptyrunningisaninevitablepartofvehicleoperationinthefoodsectorandtheextentofitisdependentonboththenatureofthejourneyprimary,secondaryortertiaryandonthewaythatvehicledeliveryroutesareplannedandexecuted.Aprimaryroutemayinvolveafullloaddeliverytoasinglepointandthenareturn.Ifnoarrangementsforabackloadaremadethen50%emptyrunningwillresult.Asecondaryortertiarydeliveryroutewillusuallyrunthelastlegempty,butthelengthofthatlastleg,andhencetheproportionofemptyrunningcandependonthewaythatthejourneyisplanned.Ifdeliveriesaredoneontheoutboundpartofthejourney,upto50%(returningmileage)maybeempty,whereasrunningouttothefurthestpointandoffloadingonthewaybackmayleaveonlyashortemptylegbacktobaseafterthelastdrop.Table5givesthepercentageofemptymilesbyactivityforthefoodsector.Table5 Empty running by activity (food).Activity

    %

    of

    kms

    empty

    PrimarySecondaryTertiary

    24.922.415.9

    Inthecaseofthedrinkssectorthereturnofemptykegsandcasksisinevitable.Theyaretheonlymeansofsupplyingdraftbeersandlagersandfartooexpensivetobeanythingotherthanreturnable.Theamountofemptyrunningwithinthedrinkssectoris

    verymuchlessthaninfood,withmanyofthedrinksfleetsnotrecordingany,duetothereturnofkegsandcasks.TheextentisshownbelowinFigure10.

    Figure10 Proportionofkilometresrunempty,byfleet(drinks)

    2.5. TimeUtilisationVehicleactivityoverthe24hourperiodwasmeasuredbyrecordingthemainactivityofeachvehicleforeachhouroftheSurvey.Trailersandrigidsinthefoodsectorspent23%ofthetimerunningontheroad(Figure11),afigurewhichissignificantlylowerthanthatrecordedin2007.AlthoughvehicleoperationisseenasbeingasubstantialexpensetheSurveyshowsthat,inthefoodsector,vehiclesspendslightlylesstime(47%)activeontheroad,loading/unloading,ordelayedthantheydoinactive.Againthisisareductiononthenumbersseeninthe2007Survey.

    Figure11 Vehicleactivities(trailersandrigids)(food)

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    Figure12 Vehicleactivities(tractorunits)(food)

    Thecomparisonsaboveclearlyshowthebenefitofusingarticulatedcombinationswherethetimespentontheroadbytractorunitswas44%comparedwithjust23%forrigidsandtrailers.Thefiguresfortrailerandrigidactivitiesinthedrinkssectorareshownbelow.Figure13 Vehicleactivities(trailersandrigids)(drinks)

    Figure14 Vehicleactivities(tractorunits)(drinks)

    Separationofvehiclesintoactivities,i.e.primary,secondaryandtertiaryshowsanumberofdifferences.Inprimaryoperationsvehiclesspend23%oftheirtimeidleandstationary,whereasinbothsecondaryandtertiarytheidletimewasaround33%.Itmightbeexpectedthatprimaryvehicleswouldbespendingmoretimeontheroadsincefactorytodepotoperationsoffermoreopportunitiesforefficientloadscheduling.Withinthe2009samplegrouphowevertheconversewastruewith21%oftimeontheroadcomparedwith38%fortertiary.Notablythetertiaryvehiclesspentrelativelylittletimeloadingandunloading,perhapssupportingtheimageofanumberofsmalldrops,usuallycarriedoutbythedriver,atadeliverypointwherethevehicleisliabletocause

    obstruction

    and

    there

    is

    every

    incentive

    to

    have

    itquicklyonitsway.Figure15 Vehicleutilisationbyactivity(food)

    Thedataalsoenablesustoconsiderthespreadofactivitiesacrossthe24hourperiodandthedifferenceshereareverymarked.Figures16,17and18showmarkeddifferencesinlevelsofactivityover24hoursacrosstheprimary,secondaryandtertiaryfleets.Whilstthenumbersareslightlydifferenttothoseobtainedin2007theoverallprofilesremainverysimilar.

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    Figure16 Timeutilisationprimaryfleets(food)

    Figure17 Timeutilisationsecondaryfleets(food)

    Figure18 Timeutilisationtertiaryfleets(food)

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    Whilsttheactivityofprimaryfleetsisspreadrelativelyevenlyacrossthewhole24hourssecondaryfleetactivityismorevaried.Thereissubstantialactivityacrossthewholeperiodbutwithaclearincreaseinactivitystartingataround04:00,andagentleandconsistentdeclinefromaround13:00.Thisprofileissomewhatflatterthanin2007.Theprofilefortertiaryactivitiesisalsosomewhatflatterthanin2007withmoreactivitytakingplaceinthehoursfrom12:00onwards.The2009datastillsshowsapredominantlydayoperationhoweverwithapeakoccurringinthehoursbetween07:00and10:00.Figure19 Standardpalletsdeliveredineachhour(food)

    Thesurveyalsoshowsthepatternsofactivitywithinthedifferenttemperatureregimes.Allthreeregimesshowapeakduringtheearlypartoftheday,butitismostmarkedinmultitemperatureoperations.Thisisincontrastto2007whentheclearpeakwasindeliveryofchilledproduct.Itispossibleofcoursethatmuchofthemixed

    product

    being

    delivered

    in

    the

    early

    hours

    of

    thedaywaschilled.Thiswouldalignmorecloselywith

    2007andalsoconformwiththeexpectationthatmostchilledproduceisfreshandisrequiredtobeinshopsatthestartoftheday.Overallthefourprecedingfiguresshowthatalthoughmuchactivitydoestakeplaceoutofhourstherearestillmarkedpeaks.Evenallowingfortheneedforretailerstomanagetheirstocksandstaffinglevelseffectively,andforcommercialvehiclestooperateinharmonywithlocalresidents,theresultssuggestthatthereisstillanopportunityforthesectorasawholetolookagainatfurtheroutofhoursdeliveries.Figure20 Tonnesdeliveredineachhour(drinks)

    Figures21to23showthepatternsofactivityacrossthedayinthedrinkssector.Withinprimarytheactivity,aswithfood,isspreadacrossthedayalthoughmuchoftheloadingandoffloadingactivityisdonewithinthenormalworkingday.Inbothsecondaryandtertiarytheactivitiesarepredominantlycarriedoutintheday,withsomepreloadingbeingdoneoutofhourssothatvehiclescanbedespatchedpromptlyduringtheearlymorning.Wheredeliveriesarebeingmadetopubsthesetakeplacealmostexclusivelyduringafairlynarrowtimeband,drivenbywhatisacceptabletopublicanstofitinwiththeiropeninghours.

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    Figure21 Timeutilisationprimaryfleets(drinks)

    Figure22 Timeutilisationsecondaryfleets(drinks)

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    Figure23 Timeutilisationtertiaryfleets(drinks)

    2.6. Delays(DeviationsfromSchedule)

    Delaysincurredinvehiclejourneyscontinuetobeamajorfactorinplanningtransportoperations,anditislikelythatthiswillbecomeevermoreimportantasoperators

    seek

    to

    utilise

    spare

    capacity

    on

    return

    legs.

    Ofallcausesofdelaytrafficcongestionistheonewhichhasthehighestprofile,especiallyintheeyesofthepublic.Inpracticehoweverdelayscausedbytrafficcongestionarejustpartofamuchbroaderproblem.Inthefoodsectorin2009trafficcongestioncaused26%ofthedelaysincurred.Thisisactuallyafallcomparedwiththe2007figureof32%,althoughthismaybedueinparttorecordingdelaysonawholejourneybasisratherthanlegbyleg.Minordelayduetotrafficmay

    wellhavebeenrecordedagainstindividuallegsin2007andoverlookedin2009if,inthedriverseyes,itwasdwarfedbyamoresubstantialdelay.Formanydriversthiswillseemcounterintuitivebutitmaybetheresultofbetterplanningthroughgreaterknowledgeoftrafficconditionsandroadspeeds,andtheuseofthisknowledgeinfinetuningcomputervehiclerouteschedulingsystems.Itmayalsobedueinparttothegeneralbeliefthattrafficvolumeshavefallensomewhatduetofuelpricesandtheimpactoftherecessionongenerallevelsofroadactivity.Theseviewsareofcoursespeculativebuttheresultsshowthat70%offoodsectordelayswerecausedbyowncompanyaction,orbyproblemsincurredinmakingdeliveriesorcollections.AsinthepreviousSurveythesenumberssuggestthattheopportunityforimprovementliesintheareasoverwhichmanagementhassomecontrol.Clearlythisisnotasimpleissuesincedeliveryandcollectionpointsaregenerallyverybusyandsubjecttodisruptionbutneverthelessthesearetheactivitieswhichgenerateovertwothirdsofthedelays.WhilstcomparisonswithpreviousSurveyscanbeunreliableitisperhapsworthnotingthatthepercentageofdelayscausedbydeliveryproblemshasincreasedfrom26%in2007to39%in2009.

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    Figure24 Delaybynumberofoccurrences(food)

    Figure25 Averagelengthofdelaybycause(food)

    Onaverage,adelaylastedforonehourandthreeminutes,anincreaseof12minutesover2007,whichwasitselfanincreaseofeightminuteson2002.Thelengthiestdelayswerethosecausedbyvehiclebreakdown,incontrasttolackofdriverin2007.Thecombinationoflengthofdelayandnumberofoccurrencesgivesameasureofoverallimpact.Thepictureisverysimilartothatobtainedfromlookingatoccurrences,withatotalof78%oftimelostbeingincurredatownpremisesanddeliveryandcollectionpoints.Withinthedrinkssectorthenumberslooksomewhatdifferent,partlybecauseofthenatureofthework.

    Figure26 Totallengthofdelaybycause(food) Inthecaseofdraysthevehiclesaresubjecttomanyofthesamedelaysexperiencedbyvehiclesinthefoodsector.Formany,however,thereistheopportunitytominimisetheeffectofdelaysatoffloadingpointsbymovingontothenextcustomer,andthenreturningtotheonethatwasnotreadytoreceiveadelivery.Thisinformalityisnotgenerallyavailablewithinthefoodsector,butcanbeusefulwhereconsecutivedeliveriesaregeographicallyclose.Theotherelementofpubdeliveriesisthatitisnotunusualfordraycrewstodeliveroutofsequencewheretheybelievethatthiswillbebeneficial.Thismayormaynotbringbenefitsinefficiencybutitinvariablymakesitdifficulttoassessdelays,andtounderstand

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    theeffectivenessofplannedroutesandopportunitiestoimprovethem.Figure27 Delaybynumberofoccurrences(drinks)

    Forallthedifferencesinthesectorhowevertheoverallpictureremainsverysimilartothatfoundinfood.WhilstthereportingofdelaywasnotasFigure28 Averagelengthofdelaybycause(drinks)

    Figure29 Totallengthofdelaysbycause(drinks)

    comprehensiveitisstillclearthatthemajorityofdelays,58%arecausedbydeliveryandcollectionproblems.Comparedtothefoodsectortheaveragedelaywasslightlylongeratonehourand19minutes,withcollectionproblemscausingthelongestdelay.Combiningnumberofdelayswithlengthofdelay,aswithfood,doesnotchangetheoverallpicturebyverymuchwithcollectionanddeliveryproblemsaccountingfor61%oftimelost.

    2.7 ConsumptionandEnergyEfficiency

    FuelConsumptionFuelconsumptiondatawasrequestedfortheperiodOctober2008January2009.Itwasconsideredworthwhilespecifyingathreemonthperiodtoallowsufficientsmoothingofcompanydatatogivearepresentativefigure,butalsotominimisetheeffectofvehiclereplacementprogrammeshadalongerperiodbeenrequested.Theoverallresultswere:

    Table6 Fuel consumption by vehicle type(mpg)(food)1998 2002 2007 2009

    Smallrigid 11.3(4.0) 13.1(4.7) 15.4(5.5)Mediumrigid 10.4(3.7) 10.2(3.6) 9.8(3.5) 11.5(4.1)Largerigid 10.4(3.7) 8.8(3.1) 10.4(3.7) 10.1(3.6)Drawbar 8.8(3.1) 7.2(2.5)Urbanartic 9.0(3.2) 9.0(3.2) 8.5(3.0) 10.0(3.5)Mediumartic 8.8(3.1) 9.0(3.2) 9.3(3.3) 8.8(3.1)Largeartic 8.2(2.9) 8.2(2.9) 8.6(3.0) 8.5(3.0)

    (Table6showskms/litrefiguresinbrackets)Aswithmostoftheotherdatagathereddirectcomparisonswithprevioussurveysisunreliabledueto

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    thecompositionofthesamplegroupandthetypeofworkandjourneysundertaken.Howeveritisworthnotingthatinonlythreevehiclecategoriessmallandmediumrigidsandcityarticshasfuelconsumptionimproved.Largearticsreturnedthesamefigureas2007,withlargerigidsandmediumarticsshowingadeterioration.Table7 Fuel consumption by vehicle type(mpg)(drinks)

    2007 2009Smallrigid 15.1(5.3) 15.8(5.6)Mediumrigid 8.0(2.8) 10.7(3.8)Largerigid 8.2(2.9) 10.0(3.5)DrawbarUrbanartic 7.0(2.5) 8.5(3.0)Mediumartic 8.7(3.1)Largeartic 8.6(3.0) 8.3(3.0)

    (Table7showskms/litrefiguresinbrackets)

    Asin2007fuelconsumptioninthedrinkssectorwaspoorerthanfoodinallvehiclecategories,exceptsmallrigids.Thismaybeduetothenatureofthework,i.e.shortjourneyswithlargenumberofdeliveriesinpredominantlyurbanareasinthecaseofdrayvehiclesandrunningatfairlyhighweightsinthecaseofprimaryactivities.Comparedwith2007thefiguresshowanimprovementinallvehicletypesexceptformaximumweightartics.Figure30 Fuelconsumptionbyvehicletype(food)

    Withinseveralvehicletypesthereisawiderangeoffuelconsumptionlevels,whichthisyearappliestoallvehicletypes.Therangewillbecausedbyanumberofissuesincludingthetypeofjourneyundertaken,weightofproductcarried,andthepowerusedbyancillaryequipmentespeciallyrefrigerationunits.Thenumbersdosuggestthatfuelcontinuestobeanaspectofvehicleoperationwhichmustattractmanagementattention.Thenatureoftheworkprobablycannotchangebuttherangeoffuelconsumptionfiguresreportedsuggeststhattheremaybeopportunitiesforimprovement.Correspondingdatafordrinksisshownbelow.Figure31 Fuelconsumptionbyvehicletype(drinks)

    EnergyEfficiencyItisnowovertenyearssincetheKyotoagreementwasfirstnegotiated,significantlyraisingtheprofile,forbusinessesandindividuals,oftheneedtoreduceCO2emissions.RecognitionoftheneedhasfurtherincreasedinthetwoyearssincethelastSurveyandanumberofmajorbusinesseswithinthesectorhaveundertakenchangestothewaythattheyoperate.Inconsideringsupplychainemissionsitwillalwaysbenecessarytoevaluatethewholesupplychain,ofwhichtransportisjustpart.Itmaybethatthemosteffectivemeansofproducinganddeliveringfoodtotheconsumer,fromanenvironmentalpointofview,doesinvolvetransportingfoodoverlongdistances.Whatisimportantforthetransportoperatoristhateachtransportoperationisrunasefficientlyaspossible,andthatemissionsaretherebyminimised.

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    Ithasalwaysbeendifficulttomakemeaningfulcomparisonsoftransportefficiencybetweendifferentoperations.Therearemanyvariableswhichwillaffectanymeasureused,including:

    thenatureandgeographicalrangeoftheworkundertakenefficiency

    of

    load

    planning

    how

    is

    time

    utilised?

    thecorrectspecificationofvehiclesaretheytherightsizeandtype? itisveryeasytofillvehicleswhicharesmallerthantheyshouldbethefuelconsumptionachievedbythosevehicles.

    Allofthesefactorsaffectefficiency,i.e.theamountoffuelusedinmovingoneunitofloadfromorigintodestination.InthelasttwoSurveysacompositemeasurepalletkmsperlitrewasusedinordertobringsomeofthevariablestogether.Ithasnotbeenclearthatthismeasurehasmetwithagreatdealofacceptancesimplybecauseitcombineselementswithoutcreatingaclearandinformativepicture.For2009twodifferentmeasureshavebeenusedtowhichwebelieveoperatorswillmorereadilyrelate.Thesearelitresperunitdeliveredandkilometresperunitdelivered,thefirstofwhichisshownbelow.Thechartshowsarangeofvaluesandsincedistanceandcircumstanceswillvarythereislittleapparent

    Figure32 LitresusedandCO2emissionsperpalletdelivered(food)

    correlationbetweenprimary,secondaryandtertiaryoperations.Whenconsideringtheenvironmentalimpactofthewaythatfoodsupplychainsareconstructed,furthermeasureswillbecomeimportant,andfoodmilesremainsaheadlinemeasure.Thistypeofsurveycannotreadilyidentifyfoodmilessinceitdoesnotfollowfoodthroughoutitsentiresupplychain.Asin2007wedohoweverhavemeasuresofthenumberofmilesruninmovingaquantityofgoodswithinthefinishedgoodspartofthesupplychain.Figure35showstheaveragefiguresforeachfleetbyactivity.Incontrastto2007thisSurveyhasnotshownagoodcorrelationbetweenactivitieswhichperhapsmighthavebeenexpected.The2007resultsgenerallyshowedtertiaryfleetsgeneratinghighkms/palletfigures,due,presumably,topredominantuseofsmallvehicles,whereasprimaryfleets,typicallycarryingat

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    Figure33 Distancetravelled- kms/loadedpallet(food)

    least26palletsforeachkilometrerecordedlowerfigures.Overallthefiguresarelowerthistimewithsomefleetsexceeding50kmsperpalletin2007.NBFigures32and33refertopallets.Inmanycasesthisisthewaythatparticipantsreportedthroughput.Insomecaseshoweverotherunitshavebeenused,rollcagesortraysforinstances,andforthesefleetsquantitieshavebeenconvertedtopalletequivalents.Thecorrespondinggraphsforthedrinkssector,wherethroughputwasexclusivelymeasuredintonnes,areshownbelow.

    Figure34 LitresusedandCO2emissionspertonne(drinks)

    Figure35 Distancetravelled- kmspertonne(drinks)

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    2.8 OperatingRestrictionsIn2007theSurveycovered,forthefirsttime,theextenttowhichfleetoperationswereaffectedbylocalauthorityrestrictionsorbyrestrictionsplacedbycustomers.Thiswasrepeatedin2009.Deliveryrestrictionshavesignificantimpactwith53%offoodfleetsand92%ofdrinksfleetsreportingcustomerdeliverytimerestrictions.Thesecomparewith40%and59%respectivelyin2007.Theextentoftherestrictionsisshownbelow.

    Figure36 %ofcustomerswithdeliveryrestrictions(food)

    Figure37 %ofcustomerswithdeliveryrestrictions(drinks)

    Participantswerealsoaskedfortheextentoftheimpactofparkingfinesandtollsontheiroperation.

    50fleetsreportedannualcostsincurred,witharangefrom30toover77thousandpounds.Therangeisshownbelow.Figure38 Finesandchargesbyfleet

    2.9 FuelUseandEmissionsStandards

    Participantswereaskedtospecifythetypeoffuelused,and,wheremorethanonetypewasusedtheratiobetweenthetypes.Therewerenofleetswithinthedrinkssectorusinganythingotherthanstandardspecificationdiesel.Amongstthefoodfleetsfivewereoperatingsolelyonbio-diesel.Afurtherfourfleetswereusingacombinationofstandarddieselandbio,oneofwhomwasalsousingasmallquantityofcompressednaturalgas.Inansweringthequestionparticipantswereaskedtoignorethesmallamountofbiowhichisincludedinalldiesel,andonlytoclaimuseofbioiftheywereusingafuelwithahigherpercentageofbiocontent.

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    SincethelastSurveythelimitsonvehicleemissionshavebeenfurthertightened.WhilstEuroIIwasbecomingthenormin2002,by2009ithasbecomevirtuallyextinct.IndeedthedominanceofEuroIIIin2007hasbeenrapidlyeroded,andin2009thecombinedtotalforEuroIVandEuroVexceededEuroIIIby15%.Figure39showstherateofchange.Figure39 EuroEmissionStandardsofSurveyedVehicles

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    3 Conclusions3.1 LevelsofEfficiencyVehicleFillTheamountofproductcarried,orvehiclefill,isoneofthemostimportantmeasuresofutilisationandhenceefficiency.Inmostcasesvehiclescarryingfoodproductswillbefullintermsofvolumeusedbeforethevehiclereachesitsweightcarryingcapacity.Comparedwiththe2007Surveytheuseofheightwithinvehicleshasdeteriorated.The2009Surveyhadmoreloadswithlessthan0.8mofthevehiclesheightused,7%comparedwith5%,and28%oftripshadproductover1.7mcomparedwith35%.Utilisationofvehicledeckspaceincreasedfromanaverageof75%toanaverageof83%.Weightutilisationsawafurtherslightincreasefrom55%to57%.Thedrinkssectorissubstantiallydifferent.Theproductisheavyand,inmanydrayoperationswithamixofproductbeingdelivered,isnotoriouslydifficulttostack.Averageweightutilisationwas57%,whichisverymuchlowerthanin2007.EmptyRunningEmptyrunningisseenasameasureofseriousvehicleinefficiencyandmostcompanieswilltrytoeliminateitsince,almostbydefinition,vehiclescannotbeearningrevenuewhenrunningempty.Inpracticethelevelofemptyrunningwilloftendependonthetypeofoperationbeingconsidered,butalsowithinoperations,onthewayinwhichvehicleroutesareplanned.Multidroploadstendtohavethelowestemptyrunningsinceonlythelastlegisempty.Thatlastlegcan,however,

    bealongoneifdeliveriesaremadeontheoutwardjourney,withthelastdropatthefurthestpoint.In2007thelevelsofemptyrunningaveragedaround24%forthefoodfleetsand20%fordrinks.In2009thecorrespondingfigureswere23%forfoodand19%forthedrinksfleets.TimeUtilisationSomemeasuresoftimeutilisationareworsethanthosein2007withtractors,trailersandrigidsinthefoodsectorspendinglesstimeontheroad.Idletimefortractorunitshasincreasedslightly,butreducedfortrailersandrigids.Inthedrinkssectorvehiclesspentmoretimeontheroadandincurredlessidletime.Takenacrossthedayitisclearthatprimarymovementshaveremainedalargely24houroperation.Secondaryoperationsarenowspreadacross24hourswithaclearpeakduringtheperiodwhichmightberegardedasanormalworkingday.Tertiaryoperationsaresubstantiallyadayoperation,butaremovingtowardsasevendayweek.DelaysThedataforDelaysshowsmixedresultswhencomparedwith2007.Theproportionofdelayscausedbycongestioninthefoodsectorwas26%,downfrom32%,andthetimelostwas15%downfrom19%.Inthedrinkssectorthecongestioncaused25%ofdelays,upfrom21%,and17%oflosttimecomparedwith13%.Theremaybeanumberofreasonsforthis,suchasimprovedvehicleroutingandschedulingpackagesandthepossibilitythattrafficlevelshavefallenduetofuelpricesandrecession.Itisalsolikely,thoughnotquantifiable,thatlowerroadspeedsarebeingusedinplanningsystems,i.e.congestionisplannedintovehiclerouting.

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    Themostimportantmessageforbothsectorshoweveristhatmostdelays,andmosttimelost,occurofftheroadduringloadingandunloading,andnotontheroad.FuelConsumptionIn2007theSurveysuggestedthatoverallfuelconsumptionofvehicleswithinthefoodsectorhadnotimproveddrasticallysincethefirstsurveyin1998,butin2009thepictureissomewhatvaried.Forrigidvehiclestherehasbeensomeimprovement,bothinthefoodanddrinkssectors.Lightweightarticulatedvehiclesshowedimprovementinbothfoodanddrinks,butinthelargervehiclestheresultsremainedsimilartoor

    worse

    than

    2007.

    ThereasonsfortheselevelsofchangecannotbereadilyidentifiedfromtheSurvey.Therewillhavebeenmanychangesinthenatureofthefoodsupplychainssince1998,anditisalmostcertainthatthemixofthefleetswhichhavetakenpartinthelastthreeSurveyswillhavechanged.Withinsomeparticipantsthereisaviewthatfuelconsumptionimprovementswillinevitablyplateauasemissionsstandardscontinuetotighten,andalsothatthereisafuelconsumptionpenaltyintheuseofbiofuel.

    3.2 SummaryInsummarytheresultsshow:

    Opportunitiesappeartoexistforimprovementinvehicleutilisationintermsofloadheight.Theaveragefill,byarea,of83%alreadybeingachievedinthefoodfleets,andthelimitationsimposedbycustomerservicerequirementswillprobablymakefurtherprogressincreasinglydifficult.Emptyrunningappearstohavedecreasedslightlyinbothfoodanddrinksfleets.Timeutilisationremainsanissuewithtrailersandrigidvehiclesrunningontheroadforlessthanonethirdoftheiravailabletime.Infoodtertiaryanddrinksupplychainsmostoftheactivitytakesplaceduringtheday,offeringmoreopportunityforoutofhoursdeliveries.Thisismuchlessthecaseinsecondaryoperations.Primaryactivitiesarealreadywellspreadacrossthewhole24hours.Vehicleoperationsstillexperiencedelaysduetotrafficcongestionbutthebiggestimpact,asin2007,iscausedbydelayswithinsuppliersorcustomerspremisesratherthanbytrafficcongestion.Theproportionofdelayscausedbytrafficcongestion

    was

    lower

    in

    the

    food

    sector

    but

    higherinthedrinkssectorwhencomparedwith2007.Therehavebeenchangesinthelevelsoffuelconsumptionachievedwithbetterresultsfromrigidvehicles,butlittleoverallimprovementfromtractorunits.Theadventofsevendaytradingledtotransportactivitiesbecomingmoreevenlydistributedacrosstheweek.However,SaturdayandSundaytrafficaccountedforslightlylessactivitythanin2007.

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