2017_4q_fpco_e
27/34 - Capital Investment > Logistics Construction of a system with greater speed and accuracy
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00:19:06.3
As a result, we can now gain an overview of which truck arrives at which customer at what time, and when it leaves the customer on a real-time basis.When we analyzed these data, we found that the goods for another customer could be loaded on the truck. We have done this for every single truck to achieve a 3.3% improvement in load efficiency on a full-year basis. Today, around 500 trucks are in operation every day. The 3.3% improvement means that we did not need to increase the number of trucks if the load increased by 3.3%. Another advantage of software introduction has to do with delivery accuracy. At the moment, 84% of our deliveries arrive 15 minutes or less earlier or later than scheduled. We analyze all the different transport routes to improve delivery time accuracy. After performing a search, the sales staff understand all the details, such as the times of arrival at and departure from customers. The number of inquiries has decreased dramatically, and accuracy has improved. We make a distinction between chartered services and regular services. We use chartered trucks for 96% of our deliveries. We use general regular services for only 4% of all our deliveries. The delivery cost of chartered services for delivery per case hit its peak three years ago and has been gradually falling ever since. We analyze a range of factors as mentioned earlier to improve accuracy. As a result, we have been able to reduce the delivery cost. With regard to regular services, for example, our chartered services are unable to deliver three cases to very distant destination. If we receive an order from a customer in Kyushu and our Kyushu center has run out of the stock ordered, the data goes to the Fukuyama center. We call this "transfer to a higher level." When shipping from Fukuyama to the customer in Kyushu, we have to use regular services. These now comprise around 2% of our deliveries. Two percentage points of the 4% covered by regular services pertain to deliveries that can essentially be carried out solely by regular services, and the remaining two percentage points pertain to delivery from the central center as a result of a transfer to a higher level because the goods ordered are not in stock at the local centers. The cost of regular services, which now comprise 4% of our deliveries, is soaring. We foresee that the rate of the rise will probably surpass 10%. There is now a huge gap between chartered services and regular services. Meanwhile, I doubt whether other companies can immediately increase the ratio of chartered services, because they would have to reorganize their accounts to increase the number of cases in which goods are unloaded in single locations and boost their business. This is the difference in logistics, and picking is another point.
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