This session will focus on the practical implementation strategies and configurations for your Fleet Operation – small or large. The presentation and discussion will focus on real-world applications of ArcLogistics solutions to meet your fleet operational needs and maximize your return on investment. Session attendees will learn how evaluate ArcLogistics deployment options, choices for integrating navigation solutions as well as resources and techniques for tuning ArcLogistics to your operation.
00:01 Welcome to Deploying the New ArcLogistics for Your Fleet Operation.
00:04 I'm Rich Pearlman; I'm the business development manager for logistics for Esri...
00:09 ...and presenting with me today is Greg Wietholter from Route Solutions.
00:16 Today, we're going to cover a variety of topics.
00:18 I do want to note that this is the first of two consecutive sessions on ArcLogistics, both very informative.
00:25 Encourage you to please participate in both sessions.
00:30 Today I'm going to give you a brief introduction to ArcLogistics with ArcGIS Online services.
00:37 We'll talk about fleet deployments for the new ArcGIS and talk about the kinds of fleets and sizes of fleets it's very suitable for.
00:46 I'll give you a demo of the new ArcLogistics solution at somewhat of a higher level.
00:53 We'll talk about some of the navigation options that are usable with ArcLogistics.
00:58 From the deployments we've been going through with the new ArcLogistics over the last few months...
01:03 ...some common questions come up. I'll talk about that.
01:06 We'll talk about ArcLogistics business partners/resellers, what they do.
01:11 And if you're a business partner and interested in reselling ArcLogistics, what that program would look like for you.
01:20 Greg will talk about his company, which is a business partner and a very active ArcLogistics reseller...
01:26 ...Route Solutions, what they do and a very interesting case study.
01:30 We'll end up with some Q&A, give you a preview of the next session and what we're going to cover there, and go from there.
01:39 First off, let's talk about ArcLogistics. I'm going to get a...ask a couple of questions and get a show of hands.
01:47 How many are familiar with ArcLogistics either in the new form or in the desktop form? Great.
01:55 Who's an ArcLogistics user? Okay.
02:00 Have any questions, the gentleman in the back will answer the questions; please don't come to me. Great.
02:05 So then most of us know what ArcLogistics is, but it's an Esri solution...
02:12 ...and it's a little unusual for Esri in that it's a solution targeted at the end user.
02:18 It's not a building block, it's not a piece of technology; it's an end-user focused application.
02:25 And it's all about getting the right products, the right services, or the right people...
02:30 ...to the right place at the right time while minimizing your costs in doing that.
02:35 There are a variety of other solutions out there that will help you optimize your deliveries and optimize the assignment of your vehicles...
02:44 ...excuse me, the assignment of your stops to vehicles, ordering the stops, generating routes.
02:49 ArcLogistics is very powerful in that it allows you to incorporate your rules of operating your business...
02:57 ...and your requirements for operating your business and even your basic knowledge.
03:01 So when you get an end result out of ArcLogistics, if you need to tune that and optimize that a little more...
03:04 What I am going to talk about, a default route, 'cause a default route is a combination of the driver...
03:06 ...knowing what you know, it allows you to do that.
03:10 That's great. Thank you very much.
03:14 So what problems are we solving with ArcLogistics?
03:16 And it's really up there in the pictures on the left-hand side of the screen.
03:22 When fleet managers and dispatchers take a large pool of stops, a pool of vehicles...
03:27 ...and have to decide what stops would go to what vehicles...
03:28 We've assigned the day of the week for each vehicle; it's very easy to go ahead and change that.
03:31 ...how do they route those vehicles, it can be a very frustrating and labor- and man-intensive process.
03:39 It's frequently multiple people sitting around a map on a bulletin board pushing in pins...
03:44 ...taking string and yarn and trying to join things together.
03:49 It's not easy; it consumes a lot of time, and the results are generally...
03:54 ...even though you may know a lot about your business, fairly inefficient.
03:58 As I mentioned before, there are existing automated solutions (in quotes), for helping you optimize your fleet.
04:07 For the most part, they're very expensive, especially compared to the new ArcLogistics delivered online...
04:13 ...and they're not easy to use. They're very complicated to use.
04:19 So what are the benefits of using ArcLogistics? It's very straightforward.
04:23 First and foremost, the significant reduction in your fleet-related expenses.
04:28 If you're optimizing how you implement your routes and how you develop your routes, you're going to drive less miles.
04:37 If you're driving less miles, you're potentially using fewer vehicles.
04:41 It's less manpower, so it's less salary, it's less overtime, it's less overtime pay, it's reduced fuel costs.
04:49 It can be lower capital expense; if you don't need as many vehicles, you don't need to buy or maintain as many vehicles.
04:56 And you can certainly spend a lot less time in front of that map with the pushpins.
05:02 Very efficient solution in terms of using the time of your route planners or your dispatchers.
05:08 It helps you improve productivity. Productivity is very important.
05:12 In a down economy such as we've witnessed around most of the world over the last few years...
05:19 ...people are faced with doing the same amount of work, or even more work, with fewer resources.
05:25 Optimizing your route using a tool like ArcLogistics goes a long way in helping increase your productivity.
05:31 You can go green.
05:33 Many entities, especially in the state and local government market, are concerned about reducing their carbon footprint.
05:40 With ArcLogistics, again, fewer miles driven, less fuel burned, less carbon emitted into the atmosphere.
05:47 I know that's something that's important to many people.
05:51 There's even in ArcLogistics, the new ArcLogistics comes with a CO2, carbon emissions, calculator to help you quantify that.
06:00 ArcLogistics is a good tool for modeling your operation as well.
06:03 Not only are the results very effective for optimizing how you do things...
06:07 ...it's a great tool for running different scenarios on how to allocate your vehicles, how to allocate your resources.
06:15 With improvements in productivity also come improvements in customer service. You can run tighter time windows.
06:22 You can do a better job of telling your customers...
06:25 ...when you will be at their stop in order to meet their time requirements as well as yours.
06:32 If you can be on time more often, you can certainly enhance the reputation of your company.
06:39 Increased customer satisfaction is good for business.
06:44 So let's talk a little about ArcLogistics using ArcGIS Online.
06:49 So far, and I talk about this a little at the Logistics SIG at lunchtime...
06:54 ...the most common question about the new ArcLogistics is What do I call it?
07:00 So is it ArcLogistics? Is it ArcLogistics Using ArcGIS Online Services? Is it ArcLogistics Online?
07:09 And the answer to that question is yes. It's all of those, and it's frequently referred to as any one of those names.
07:18 What it's not, in terms of a name, it's not ArcLogistics 9.4. It's not ArcLogistics 9.3.3. It's not ArcLogistics 10.
07:29 It's simply ArcLogistics or ArcLogistics with some association of online or with ArcGIS Online services.
07:38 Our first deployment of the new online delivery of ArcLogistics today is available in the USA, in the USA only.
07:47 We rely on several services from ArcGIS Online, which is currently available only in the U.S.
07:57 We are looking at expanding internationally, and it's based on two different main factors that will drive that.
08:05 First off is the availability of more international coverage in ArcGIS Online, which is in process...
08:11 ...and then also putting the business models in place to support the international deployments...
08:16 ...in terms of handling subscription payments, tax issues, revenue shares, those kinds of things.
08:24 The cloud implementation of ArcGIS does support the traditional ArcLogistics workflows.
08:31 So if you're familiar with the vehicle routing problem, or VRP, workflows that have come out of the desktop ArcLogistics...
08:41 ...out of [ArcGIS] Network Analyst, fully supported, but supported in a Software plus Services application.
08:48 And I have a diagram on the next slide I'll talk to about that.
08:52 But essentially what it means is that Esri is managing the data and the software and the services.
09:00 You don't need to worry about that. The heavy lifting, the intensive processing is also supported by Esri.
09:08 Finally, in terms of the business model, the new ArcLogistics Online uses a very new business model.
09:14 Traditionally, ArcLogistics on the desktop had been licensed in a traditional software model.
09:20 You pay an initial license fee for the application and the data, and then you have optional annual maintenance.
09:27 If you don't subscribe to the maintenance, you still have the software, but as the software and the data go further out of date...
09:34 ...that can be an issue, especially for someone doing routing.
09:37 The new online application is offered as an annual subscription. And there's a big advantage to that.
09:46 As there's new updates to the map data and there's updates to the software, you receive those automatically.
09:53 You do not have to worry about managing any of that.
09:56 And I will talk about the pricing model in a few slides.
10:00 So what does it look like? What does a Software plus Services in the cloud implementation of ArcLogistics look like?
10:07 So over here on the left-hand side of the screen is the user desktop...
10:12 ...and on the user desktop there is a small 11-megabyte download for the ArcLogistics client, and what that...
10:21 And I'll show you this in detail.
10:22 What that client allows you to do, it's the user interface; it allows you as the user to manage your data.
10:31 With the new online implementation of ArcLogistics, the data, the customer data, sits on the customer desktop.
10:38 Esri does not host that data.
10:42 It goes out through the cloud, communicates with ArcGIS Online using online services hosted by Esri...
10:50 Pardon me. A little tight up here for my... There we go.
10:54 ...to support routing, the geocoding, and mapping. And all that is handled by Esri.
11:03 And then you have the option for communicating your routes that are generated by ArcLogistics...
11:08 ...out to mobile users using navigation devices, primarily the ArcLogistics Navigator.
11:16 The new features, obviously it's an online, hosted service.
11:21 There's a much more straightforward-to-use, workflow-based user interface, and I'll show you that.
11:30 As I mentioned before, automated software updates, automated database updates.
11:35 As a user of the new ArcLogistics, the only thing you have to worry about is loading it on your desktop...
11:41 ...managing your own user data.
11:44 All the heavy-duty lifting for processing, managing the map data, upgrading the application...
11:48 ...everything's done out in the cloud and managed by Esri.
11:53 There are multiple options for interchanging data with other systems, whether it's out of spreadsheet files...
12:01 ...a variety of file formats, a plug-in for Microsoft QuickBooks, or a direct OLE database connection.
12:09 And I'll show you a little about using an Excel spreadsheet in a bit.
12:15 As I mentioned, it has an inexpensive annual subscription; we have a monthly payment option, which I'll show you.
12:22 And again, our big selling point with ArcLogistics is save money now.
12:27 With a desktop implementation, our target for an ROI for our users, their return on investment...
12:34 ...meaning when they get their investment in ArcLogistics back in terms of cost savings, was around a hundred days.
12:41 Our target with the new desktop...excuse me, with the new online version of ArcLogistics is 10 days.
12:47 And it's so much shorter because it's driven by, one, a lower annual cost for the solution...
12:52 ...and, two, you should have to invest much less time in terms of getting it set up, in getting it configured.
13:01 In terms of the pricing, you can see right now we're offering four subscription ranges.
13:08 Up to 5 vehicles, up to 10 vehicles, up to 20 vehicles, and up to 50 vehicles.
13:14 And there's an annual subscription payment of a thousand, 2,000, 35 hundred, or 45 hundred dollars.
13:22 There's also an option for a monthly payment. The monthly payment's there 'cause experiences have shown us...
13:30 ...out in the fleet management and the fleet telematics market, many fleet users...
13:34 ...whether it's a small private fleet or large enterprise fleets, are used to licensing some of these services on a monthly basis.
13:42 So those are the pricing options there. You will notice on the monthly payment...
13:45 ...there is a little bit of an increase for the monthly charge, but it's only about a 20 percent on an annual basis.
13:54 [Inaudible audience question]
13:57 [Audience question] If you work over 200 or something like that, is there a [inaudible] discount on an annual basis?
14:02 If you go over...200 subscriptions or 200 vehicles?
14:05 [Audience question] 200 vehicles.
14:08 Right now, the way it's set up, and I was going to talk about this a little later. That's up to 50 vehicles per solution.
14:16 If you have 200 vehicles, and you want to route all 200 at once using one...
14:22 ...solving one problem, the online solution won't support that right now.
14:26 You use the desktop solution.
14:28 If you have 200 vehicles spread over four or five or six locations, you could license multiple subscriptions...
14:36 ...multiple subscriptions, one for each facility.
14:40 And in terms of volume pricing, we haven't crossed that bridge yet.
14:44 It really would depend how many subscriptions you're going to buy.
14:49 [Audience question] Okay, thank you.
14:53 Let's talk about some of the fleets and the deployment models that are very suitable and that we're seeing...
15:01 ...going into place for the new ArcLogistics delivered online. First off, local governments.
15:07 And local governments historically have made up the largest single component of ArcLogistics sales...
15:13 ...whether online or the desktop over the last 10 years.
15:17 And we see it frequently for inspectors, whether it's a variety of inspectors, building inspectors...
15:25 ...air quality, wastewater, et cetera. Public works maintenance and repair.
15:31 We see ArcLogistics used for the routing of repair and maintenance crews for local governments all over the United States.
15:40 And finally, waste collection.
15:42 When I talk about waste collection, I'm not talking about door-to-door, high-density routing for trash collection.
15:51 I'm talking about doing things like bulk pickup, container pickup, roll-on/roll-off, that type of thing.
15:58 [Audience question] What about medium and large utilities [inaudible]?
16:01 Medium and large utilities. So for the main initial focus for ArcLogistics Online...
16:08 ...because of the limit of 50 vehicles per solve, we're really initially targeting it at small utilities.
16:16 For a medium or a large utility that would be interested in using the online solution and using...
16:21 ...and implementing multiple subscriptions over a variety of facilities or subscriptions for different parts of their fleets...
16:30 ...we certainly can support that.
16:33 And in small utilities, a very similar type of thing.
16:36 Again, you wouldn't see ArcLogistics use for meter reading where you have someone going up and down every block...
16:43 ...and hitting every street, every house on every block on every street.
16:47 But certainly for turnoff, turn on, maintenance calls, inspection, service dispatch, that kind of thing.
16:55 We've also seen, although it's not a utility, we've seen a fair amount of uptake of ArcLogistics in...
17:02 ...dispatch for installation and service of satellite TV.
17:08 Next up, commercial markets. And ArcLogistics has been historically used in a variety of commercial markets.
17:16 Maybe the biggest is beverage delivery.
17:19 And certainly beverage delivery, especially beer...
17:23 ...is a topic that the ArcLogistics development and program management team takes very seriously.
17:31 But at issues, we do have a partner in the beer distribution business in the U.S. that's very big in that market.
17:37 Retail delivery, whether it's food; furniture; consumer electronics; store replenishment; vending machines...
17:47 ...dairies; HVAC, meaning heating, ventilation, and air conditioning, both commercial and residential...
17:56 ...as well as pest control; waste management, again, not residential trash collection...
18:02 ...but picking up of Dumpsters, bins, roll-off commercial trash collection.
18:08 In the insurance market, claims adjusters and also in sales.
18:13 And particularly for insurance and sales, you'll be hearing later about the next releases of ArcLogistics.
18:19 There's two more hopefully coming this year.
18:22 We'll be releasing a single-user subscription for ArcLogistics...
18:28 ...and that's something that will be able to be deployed on a wide-scale basis within an organization.
18:33 So if you took a company like a pharmaceutical company that wanted to supply their individual salespeople...
18:40 ...who work independently so they could each...they each would be able to route themselves.
18:45 They know where they need to go; they want to optimize the stop order; they may want to work within time windows.
18:50 They'd be able to license that on an enterprise basis and deploy it for each of their people out in the field.
18:58 Finally, another large growing market, and this is probably the biggest single segment for the new online version so far...
19:05 ...is home health care. And home health care works in a variety of applications.
19:12 Clinician routing, whether it's a physician, whether it's a nurse or some other kind of technician; medication delivery...
19:20 ...home medical equipment delivery; and home medical equipment service.
19:25 You saw on the Plenary Session yesterday there was a demo showing some home medical equipment delivery...
19:31 ...and I'm going to talk a little more about that and show you that demo in a little more detail.
19:38 But in the home medical business is a classic example of small fleets.
19:43 It's frequently private entrepreneurs or small companies with fleets of 5 or 10 vehicles.
19:50 It's a great application for the online service.
19:55 So let's talk about a home medical equipment scenario. I'll do a demonstration with that.
20:01 And the company I'm going to talk about is Shalem Medical...
20:06 ...and they're a home medical equipment supply company in the Dallas, Texas, area.
20:11 They were a beta user and the first licensee of the new ArcLogistics online solution.
20:18 Shalem has five Sprinter vans, kind of a high cube, single-axle van.
20:25 Each van can make up to 18 stops per day; the average stop is 15 minutes for delivering home medical equipment.
20:35 Like I said, the average stop is 15 minutes.
20:37 If they're delivering a bed, like a hospital-type bed for residential application, that's a 30-minute delivery.
20:45 They allow a total travel duration, or total time traveling, of 10 hours during the course of the day.
20:53 Total distance traveled per vehicle of 300 miles.
20:56 Their drivers arrive at Shalem's offices by nine a.m. in the morning, and they have to be out on the road by nine-thirty a.m.
21:04 And then they return back to the office between six and six-thirty p.m. at the end of the day.
21:12 So with that, I'll go ahead and bring up the user interface, the client for the new ArcLogistics.
21:21 And you'll notice it looks very different if you're used to seeing the desktop version of ArcLogistics.
21:29 A couple of notes before I continue with the demo.
21:32 You can also see this in more detail on the Commercial Solution Island in the...downstairs in the Exhibit Hall.
21:40 I'm doing kind of a high-level introduction. The next session following this one will be a much more detailed...
21:47 ...how do I download the application, how do I set it up, and how do I configure it. And that'll be at three-fifteen.
21:52 But for the purpose of this demonstration, we're going to talk about a home medical equipment delivery scenario.
21:57 I've already set everything up and run the project.
22:01 A quick overview. You now see it's a tab user interface.
22:04 So you work your way across the workflow going from left to right by clicking on the individual tabs.
22:12 And then within a tab, there's action buttons down each side.
22:16 It also gives you an idea of all the information and resources that are available online.
22:22 There's a variety of video tutorials; there's eight video tutorials online.
22:27 There's a resource center. Here's a quick look at the resource center.
22:31 There's a forum online, there's a blog online. There's some great places to get information for you.
22:37 Now, similar to the desktop version of ArcLogistics, you start by defining a project.
22:44 And in this case, I defined a project for a medical example, home medical equipment delivery for the User Conference here.
22:52 I did talk about beverage delivery earlier. Hangar 24 is a microbrewer in Redlands that is a user of ArcLogistics.
23:00 And all the Esri people are nodding their head and going, "Yeah, that's a very good user."
23:05 So but we're going to work within the Shalem Medical example.
23:10 Now I've clicked to the Setup tab, and there's a series of actions that we have to go through down on the left-hand side.
23:16 And I'll hit some of the highlights.
23:18 You notice fuel types, and you can define fuel types as gas or diesel, and this goes to one defining the cost for each...
23:26 ...and how that would affect the optimization calculation for ArcLogistics, as well as you'll see the CO2 emission.
23:34 So if you're worried about carbon footprints, it'll estimate that as well. Yes?
23:38 [Audience question] Will you add other motive forces there? Electric's getting to be pretty common in urban areas.
23:43 [Audience participation] You can actually add your own.
23:44 [Audience question] Can you? Yes. Yeah, you can see it's right against the speaker and [unintelligible].
23:50 Right there. So it's behind the speaker, sorry.
23:52 Oh, it's behind the speaker, okay. Okay, if you see here, it would be right up there, right above these, you could click on that.
24:05 After that, you would define a location. And a location is a place where your vehicles will start or end their day.
24:12 And in this case, it's the Shalem Medical's office in Mesquite, Texas.
24:16 We click on it, and you can see we're using the mapping services off of ArcGIS Online.
24:21 And you can both see a traditional street map; you can also see a satellite version of the map as well.
24:28 Now if you've ever done routing out of large warehouses, frequently a large warehouse has its legal address...
24:36 ...which will geocode very well, but the loading docks may be on the other side of the building.
24:41 And what you can now do is you could, if needed to be, you could grab the location for the warehouse if you needed it...
24:48 ...if you needed to move it to another street where the loading docks are on another side of the building, you could do that.
24:54 It's important, if you're generating driving directions for your drivers, and the first two maneuvers are wrong...
25:00 ...'cause it's on the wrong street, the driver's going to take those directions, put them in a ball, and throw them in the back of the truck.
25:05 So you certainly want to be able to have your drivers satisfied with their directions and their navigation...
25:10 ...'cause it's going to go a long way towards ensuring that they stay on their routes.
25:15 Very straightforward information about your location, the address, the time window for when it's open, a curb approach.
25:26 And curb approach is important for loading or unloading because if you have a door on the side of a trailer...
25:33 ...you don't want to unload your vehicle out into traffic.
25:36 And then you'll see the match method for both your locations as well as your stops.
25:42 You can input location by address or by x,y coordinate.
25:48 Next up, we'll talk about vehicles. And for the online version of ArcLogistics, we've separated vehicles from drivers.
25:56 So you can set, you can configure each uniquely. In the desktop version, they were one and the same.
26:02 And you can see for Shalem, they have five vans, and they also have access to a rental van.
26:11 And the rental van's there in case one of their five vehicles breaks down or needs to be serviced.
26:17 I'm not working in terms of capacities for the vehicles.
26:21 Each vehicle has some costs associated. Maybe not for Shalem's vehicle, but the rental vehicle's going to cost $109 a day to use.
26:29 It's also going to burn gas instead of diesel and gets 9 miles to the gallon instead of 12. Yeah.
26:37 [Audience question] If you have the two vehicles with different capacity and, like they're five and five...
26:44 ...and you want to run analysis, will you choose the vehicle with the less capacity if it's possible? I mean...
26:55 Yeah, it will manage the capacities.
26:58 [Audience question] On the desktop right now, if you have two sets of different vehicles, I don't know...
27:05 ...it doesn't do the thing [unintelligible] for both of them. I'm...
27:10 [Product team question] I think that that's specialties you're talking about?
27:12 [Audience question] No, not specialties.
27:13 [Product team participation] Oh, not specialties.
27:15 I'll defer to the product team on that one. I'm not sure. It would manage...
27:22 You're asking whether it'll pick the vehicle that has the...
27:26 [Audience question] Less capacity or that costs less than the other, the overall cost.
27:31 [Product team participation] Your [unintelligible] algorithm is designed so that it picks the lowest overall cost.
27:36 And it'll pick the vehicle [inaudible] overall lowest cost.
27:43 So you may have a larger vehicle in terms of capacity or maybe it gets more miles to the gallon [inaudible].
27:50 If you have a smaller vehicle and it's got enough capacity, it's [unintelligible] miles per gallon, it'll pick that one.
27:57 [Audience question] I'm not talking about this, but we tried it with students...
28:03 ...and like you have a cab and a mini bus, it didn't do the...
28:08 [Product team participation] [Inaudible] alone may not, but if you have a lower cost per mile or a lower overall cost...
28:12 ...then it's designed to choose that one.
28:16 Okay, great. Good question. And then finally, on specialties, we're delivering home medical equipment.
28:22 And we see that the Shalem vehicles have custom racks installed in them in order to hold oxygen bottles...
28:29 ...so if they're going to deliver oxygen bottles to homes, you need a vehicle that's equipped to do that.
28:35 And then finally, we've set one vehicle up that it has a navigation device in it that we can send the route to...
28:42 ...and I'll continue to show that to you.
28:45 Next up, drivers. And we've set up we have six drivers to choose from among for each of the vehicles.
28:56 We've set the drivers' names; a fixed cost for the driver if that's applicable; a per-hour salary for each driver...
29:04 ...and we can see that Jeff is the highest paid driver; and then per-hour-of-overtime salary.
29:12 And then I also have a specialty assigned for the driver, and you notice Jeff's specialty is Jeff.
29:17 Well, Jeff's been with Shalem Medical for a very long time.
29:21 We have certain patients or customers who like to see Jeff, and they stick with our business 'cause they like Jeff...
29:28 ...and they want Jeff to come to their house and visit them when they get their home medical equipment.
29:33 So this allows us to assign Jeff and ensure that Jeff is assigned to those individual customers that will have Jeff as a specialty.
29:43 We can set, assign, a mobile device to a person instead of to a vehicle if we want.
29:50 And set the time before overtime kicks in, all towards the cost calculation.
29:55 So we've set up the drivers. You can also set up mobile devices, specialties, zones, barriers.
30:02 In the interest of time, I won't go through that.
30:09 ...the vehicle, and what they're going to do during the course of the day.
30:13 So here we have five routes assigned, and we can see in one of the routes, we've lost vehicle...
30:20 ...Sprinter 1 is broken today and we've had to go ahead and assign a rental vehicle for Burt to drive on route 1.
30:33 If you didn't want him to work on Sunday, you could do that and save that.
30:39 A color for each route for the mapping.
30:42 Remember, they start at nine a.m., which means they have to be there and leave the office at nine a.m.
30:49 That should really be nine to nine-thirty.
30:51 We can set their lunch break, how long it is and the time window for when it starts.
30:56 They all start at Shalem Medical's location.
31:00 Remember we said they start at nine, but they need up to 30 minutes in the beginning to load their truck.
31:05 They all end at Shalem Medical.
31:08 One thing to note about the new ArcLogistics, you can define different start and end locations for each route.
31:18 Frequently in the U.S. in the home repair business, repair guys, they don't work out of an office.
31:22 They work out of their house; the parts they need get shipped to the house...
31:26 ...so they all start and end their day at their particular home.
31:29 So you can configure it that way.
31:31 How much time they need at the end of the day; in this case, 10 minutes.
31:35 Maximum number of orders. Remember, maximum travel distance is limited to 300 miles.
31:40 Maximum travel duration is 10 hours. Very straightforward.
31:47 So the only thing that we're missing now is the stop information.
31:51 So where do these drivers have to go during the course of the day.
31:54 And we actually get that out of an Excel spreadsheet where Shalem maintains their stop information.
32:03 Moves it from their customer order system into an Excel format so it can easily be input into ArcLogistics.
32:10 So Shalem actually supplied us with real user data.
32:14 So the demo you saw yesterday from Matt and this demo is using real data from Shalem Medical...
32:19 ...so what I did is I eliminated the last names, 'cause we don't want to talk about patient names...
32:24 ...and then I mixed up the sorting of the patient names so no one's names match their address.
32:30 So it talks about the log number, or the record number; the patient's name; the address for the patient...
32:37 ...and then this, it was city, state, and ZIP...
32:43 ...what kind of equipment is being dropped off for each patient; the estimated service time.
32:49 And you see where the oxygen bottles are, we've set the vehicle specialty, 'cause you have to...
32:54 ...to get the oxygen, it's got to come in a vehicle that has the racks to hold the oxygen bottles.
33:00 Driver specialty. Those patients that have been with us a long time and like to see Jeff come visit them...
33:06 ...when he leaves off their medical equipment, that's set.
33:08 And some of the patients have time windows, so the delivery needs to be made when they're available...
33:14 ...or there's someone there to assist them when the delivery's made. So there's very specific...
33:19 In this particular patient up at the top, the delivery has to be between ten a.m. and eleven-thirty a.m. A very specific case.
33:29 So we'll go back to the application. We would go ahead and import the data.
33:34 Carl and Jeff will be showing you how to do that in the next demo.
33:37 So for this demo, and in the interest of time, I've already imported all the data and I've solved the problem.
33:44 And when you see in the schedule in ArcLogistics, it gives you three views; a time view, a list view, and a map view.
33:52 You can turn those off. We'll turn off the map view and the time view for the moment. We'll look at the list view.
34:00 First we'll take a look at route 4. And Jeff is the driver of route 4...
34:08 ...and you can see all the stop information corresponds to everything we talked about.
34:12 Service time; time windows; any specialties, vehicle specialties for the oxygen bottles and Jeff's specialties...
34:21 ...so the right driver shows up to the right customer at the right time.
34:26 And then if there are any, the order numbers and description of what's being dropped off there. Very straightforward.
34:33 We also took a look at route 1.
34:37 And if I guessed correctly, route 1 is the route where the van was broken down and we had to use a rental vehicle.
34:44 And because we had a rental vehicle and the rental vehicle didn't have any oxygen racks in it...
34:49 ...you can see no stops that had any specialties associated.
34:53 Burt's the driver, so Jeff's not going to show up as a specialty, or any oxygen specialties were assigned to that van.
35:01 Very, very straightforward.
35:03 Some of the other views, and Carl and Jeff will go in this in more detail, there's a map view...
35:08 ...and the map view, again, uses the mapping services from ArcGIS Online.
35:13 You can look at the street view if you want to do that.
35:16 If you want to turn certain routes off, you can go ahead to Routes, you can turn off route 1 if you don't want it to show up...
35:22 ...and you'll see that it'll go ahead and turn off.
35:25 We could turn off the list view, turn on the time view, and you can see the different stops in the time view.
35:34 If you want to see an individual stop, you can just click on it...
35:38 ...and the mapping service will go ahead and zoom in to that stop and the location of that stop.
35:44 I'll turn off the map view so we can get a full look at the time view.
35:48 You get the gray locations are where the vehicles start or end their day or where they break for lunch.
35:56 The thin lines are transit times between stops and the thicker boxes are the individual stops and the information about that stop.
36:05 So you've gone ahead... Yes?
36:08 [Audience question] Rich, a really interesting high-level question. Can the service time be a function of the service locations...
36:15 ...meaning is it a single-family dwelling a driver can drive to or it's a high-rise apartment complex with parking...
36:23 ...it's not going to be the same service time. Is it smart enough to be able to handle that kind of specialty?
36:28 That would have to be preprocessed before the data came in.
36:31 So if you know whether it's going to an apartment versus single-family home...
36:36 ... and you wanted to apply that to the data before it went in.
36:39 [Audience question] So you're not proposing the geocoding; get another database and tell me what that is for those apartments.
36:45 No. Not in this online application. But we now have another requirement for the product team.
36:53 And then the time and then the individual stops.
36:56 So now we've got the stops, or the routes are built, stops are assigned, they're in the optimized order, you can route.
37:02 The question is, How do I get that route out to my driver? Quick question.
37:08 [Audience question] Can you correlate a route that starts from where another route stops?
37:23 The application won't do that unless I'm missing something.
37:25 [Product team participation] You mean like multiday routes?
37:28 [Audience question] Let's say for example I have a route from before that goes [unintelligible]...
37:35 ...and it drops some packages at a certain point, and many other trucks come to that point and they have their own routes.
37:48 Can you correlate those main routes to one route?
37:53 Kind of a...
37:56 [Product team participation] Depot or warehouse.
37:57 No, it doesn't do that.
37:59 [Inaudible product team participation]
38:03 Right, yeah. That's a good point. If it's a preplanned location, like you know the trucks all have to stop there anyway...
38:11 ...'cause that's where everything comes in for a break in bulk, it can do that, but you'd have to tell it, it needs to go there.
38:17 It's not going to make the decision. It's not going to know that a truck has stopped there...
38:22 ...unloaded a lot of boxes for the next...for another set of locations and then start the routes there.
38:29 Okay. So let's talk about deploying our routes.
38:33 And if you're familiar with ArcLogistics, you're familiar with the different paper reports that it does...
38:39 ...the summaries, the driving directions, and things that it will generate.
38:44 So what I'm going to show you is generating a route out to the navigator, to the ArcLogistics Navigator.
38:50 So it's very simple. You saw I set up a vehicle earlier in the demo with the [ArcLogistics] Navigator associated to it.
38:58 And you can just go ahead and we can see that I have route 4 set up to receive a navigation route.
39:06 So basically what this is, it's ArcLogistics taking the whole optimized routes, the individual stops in optimized order...
39:13 ...all the instructions for routing in between those stops, packages it up. Go ahead and hit Send Routes.
39:20 It'll send it out to the [ArcLogistics] Navigator...
39:23 ...and the [ArcLogistics] Navigator is constantly looking to see whether there's been a new route sent to it or not.
39:28 It says you have a new trip plan; do you want to load it.
39:30 You say yes, and it loads the trip plan into the [ArcLogistics] Navigator.
39:35 And the [ArcLogistics] Navigator is now routing against the preplanned route and the optimized route.
39:42 If the driver goes off his route, he wants to stop and get a cup of coffee in the morning...
39:46 ...it's going to route him back onto his optimized route.
39:50 It's a great tool for route compliance. I know Carl and Jeff are going to talk about that a little further.
39:56 The one other thing I did want to show you is when you look at the stop information in the [ArcLogistics] Navigator...
40:01 ...there's all the stops, the name of the different patients in the optimized order...
40:07 ...and you can click on one and you have all the stop information.
40:12 Any time; what's being delivered here...
40:14 We're delivering nonslip socks to this particular customer, so you know what needs to be dropped off there.
40:20 ...their address; if there's a time window, it'll show up there.
40:23 If there's a specialty, like Jeff needs to show up there, it will do that as well.
40:29 The navigator, the ArcLogistics Navigator, is an Esri navigation software application that's available with ArcLogistics...
40:39 ...and designed to work very closely with ArcLogistics and send the routes.
40:45 So with that, I'm actually going to return back to our presentation and just talk briefly about the [ArcLogistics] Navigator.
40:59 One point I did miss in terms of getting optimized stops and paths from the [ArcLogistics] Navigator, from ArcLogistics.
41:06 ArcLogistics in the back office also allows you to set specialties or routing restrictions for trucks...
41:14 ...weight restrictions, length of trailer, that type of thing.
41:17 When you set those in ArcLogistics Online, send the route to the [ArcLogistics] Navigator...
41:22 ...it automatically configures those in the [ArcLogistics] Navigator. You don't have to rely on the driver to do that.
41:28 So it's a nice safety enhancement.
41:31 We do have other navigation implementation options.
41:37 Esri ArcLogistics Navigator comes from Esri into our distributors.
41:43 We also have business partners that can integrate with either the TomTom WORK solution...
41:50 ...or the Garmin fleet management interface.
41:53 Greg's here from Route Solutions. He's going to talk about an implementation he worked on with TomTom WORK.
42:00 GeoDecisions is another partner of ours that's interfaced ArcLogistics with the Garmin system.
42:08 Before I turn things over to Greg, I do want to talk about some of the common questions we get...
42:14 ...from prospective users and trialers of the new ArcLogistics solution.
42:18 Remember, most of these are small private fleet operators. They may have less than five vehicles.
42:24 These aren't transportation people, these aren't technology people.
42:28 They're running some other business and operating a fleet of vehicles as part of that business.
42:33 So we frequently get, What is the cloud?
42:35 And when we just basically explain that is, it's the Internet...
42:38 ...you're using available computing resources from Esri and connecting through to that through the Internet...
42:45 ...they generally understand that.
42:47 We ask, what if I'm an ArcLogistics Desktop user. Well, it depends on your use case.
42:52 If you need to route more than 50 vehicles for a single routing problem, you're going to want to stick with the desktop product.
42:59 If you are doing paratransit applications in ordered pairs...or paired orders, excuse me...
43:07 ...you're going to want to stick with the desktop application.
43:10 If you are a desktop user and you're interested in the new solution, the online solution, and you're current on maintenance...
43:18 ...you can switch. Because you're on maintenance, you can move to the new solution.
43:23 When your maintenance expires, you can continue on with the annual subscription.
43:27 We still have many users of ArcLogistics that are using ArcLogistics 3.x, and they have...
43:33 And they're either here in the U.S. or internationally.
43:36 They may be long out of maintenance, and they really want to get updated map data.
43:40 Well, we don't publish map data for ArcLogistics 3.x anymore.
43:44 They can very cost-effectively transition over to the online solution by buying a new online subscription.
43:51 It'll probably be cheaper than coming current on maintenance.
43:54 It's certainly less expensive than the desktop product if you don't need it.
43:59 Can I use my own data? So we hear that a lot from local governments and other entities that have built their own map databases.
44:06 With the online solution, you need to route on the road network hosted by ArcGIS Online.
44:13 You cannot use your own routable network. If that's a requirement, you need to use the desktop solution.
44:19 But as we talk to people, it frequently comes down to, well, I don't need to route on my own network...
44:25 ...but I've geocoded my own stops.
44:27 Now I've got 2,000 places I need to visit during the course of the week...
44:31 ...and I've got better geocoding for them, 'cause I know exactly where they are.
44:35 Well, with the new online implementation of ArcLogistics, you can do that.
44:39 When you input your stops, you can do it by address or you can do it by x,y coordinate.
44:45 If you do both, it'll default to the x,y coordinate.
44:48 So if somebody has accurately geocoded stops, the more accurately geocoded stops...
44:52 ...they can use it with the online delivery of ArcLogistics.
44:56 [Audience question] Are you going to support the other data than yours?
45:02 Right now...
45:03 [Audience question] My country is not covered with the [unintelligible].
45:04 Well, our plan is to expand our coverage in ArcGIS Online, bring in more international coverage.
45:11 [Unintelligible audience question]
45:15 Can I assign specific stops to specific resources?
45:19 [Product team participation] Maybe I can help address that. If you have a need in your country for using ArcLogistics...
45:23 ...you should talk with Carl and Rich, and we can work on a long-term plan for making available services in that country.
45:32 Working with you to, if you have street data for that country, to help put it online so [inaudible] services [inaudible]...
45:39 ...to your own users [inaudible].
45:43 [Audience question] Just curious. There was a great comment in the Plenary Session yesterday with all the Community templates.
45:49 There's no thought whether the template for the road system, publicize it...
45:53 ...so users could put road data in. 'Cause we will always be [simultaneous conversations].
45:58 [Product team participation] So one thing that we're looking at long term is the ability to host the underlying...
46:03 ...vehicle routing problem service, the VRP service, as a component of ArcGIS.com.
46:09 You could actually publish your own VRP service on ArcGIS.com and then you may have a way inside of ArcLogistics...
46:17 ...where you can point to your own VRP service hosted by Esri and then use the client that way.
46:23 And that's the way that we're thinking long term.
46:25 You may see that available as a part of a future release of the product.
46:29 You download the ArcLogistics client, install it, and you point it at your own services that are hosted on [unintelligible].
46:35 [Audience question] Just going back to what Jack said, he wanted to grow in what we were doing...
46:38 ...he wanted to grow your capability and give more to others.
46:41 You've got like 95 percent of the roads; let us contribute the three and a half, remaining 5 percent...
46:47 ...as opposed to pushing it all back on us. That's what I'd like to do is help you get it and that's kind of...
46:52 [ Product team participation] So you're talking about even more so just building the underlying street network or improving it...
46:57 ...so that we're all contributing to the same basemap [inaudible] as part of our long-term plan.
47:02 We won't see it in an update this year, but we may see it in an update that's a year, two years away.
47:08 Yeah, that model's very consistent to where Esri is going as opposed to, I think...
47:16 ...less targeted at supporting individual users of their own data.
47:20 The idea of developing the community resource is spot on.
47:26 We talked about how I can share routes with my drivers, whether generating reports or through the [ArcLogistics] Navigator.
47:34 At the three-fifteen session, you'll see a very neat demo by Jeff and Carl on what'll be coming later this year...
47:40 ...in terms of using smartphone devices and what'll be there. So please stick around for that.
47:44 Can I track my people and vehicles? You're going to see two examples of that.
47:48 Greg's going to talk a little about what he's done with his customer and TomTom WORK.
47:53 Jeff and Carl are going to talk about what we've got coming down the line for tracking and messaging...
47:57 ...and statusing with ArcLogistics itself.
47:59 Can I use the online solution with a larger fleet?
48:02 And there was a question in the back, you know, can I get a volume discount if I get multiple subscriptions.
48:10 I'm the sales guy, so I'm obviously going to say everything's negotiable.
48:13 But the use of ArcLogistics, the online solution, and larger fleets does go a couple of ways.
48:21 You can license multiple subscriptions to put over multiple facilities.
48:26 You will be able to do an enterprise license for different scales of subscriptions.
48:31 You'll also be able to do an enterprise license, capped in quantity, for the single-user subscriptions as well.
48:40 [Product team participation] Well, there was a...we do have sort of the larger subscription now, capped at 50 vehicles...
48:46 ...and we do have the capability to go larger than that.
48:50 We've been talking about maybe increasing the maximum fleet size...
48:53 ...from 50 vehicles to 100 vehicles or maybe even stretch in the next couple of years to 200 vehicles or more.
49:01 Right now, we felt confident in beginning to provide quality online services to address the 50-vehicle fleet size.
49:09 And in the future, we may move up to a hundred, 200 vehicles.
49:13 The problem, as you can expect, you know, it gets bigger and it takes longer to solve.
49:17 And we have server resources that are available to us that can scale out over time...
49:23 ...but we really didn't want people to be using the online service and spending 30 minutes, 40 minutes...
49:28 ...an hour to solve the problem for 200 vehicles.
49:31 We wanted to have an expectation of the online service where you'd get all your data in there...
49:35 ...and you can solve your problem within 10, 15 minutes [inaudible] today.
49:40 And we're still recommending to people at this point if they have the larger fleet and they want to solve the larger problem...
49:45 ...they should be using the desktop version of ArcLogistics. But that's not our long-term plan.
49:49 Our long-term plan is to support larger fleet size [inaudible].
49:55 Yeah. That's a larger fleet on a single...solving a single problem as opposed to distributed problems.
50:03 [Product team participation] So we do have some customers that are looking at the online solution and they have as many as...
50:09 ...you know, 2-, 3-, 400 vehicles in their fleet, but those vehicles are distributed across several warehouses...
50:15 ...and they just solve for each one of those warehouses.
50:18 [Audience question] So do most school districts agree to stick on ArcLogistics Desktop?
50:22 Well, most school districts right now that are doing school bus routing are really using ArcLogistics for paratransit routing...
50:34 ...special needs kids, which requires the paired orders.
50:41 So you have to pick up a student at a particular...multiple students get picked up, they go to multiple locations.
50:47 There may be a limited amount of time they can be on the bus.
50:50 And that kind of functionality is supported in the desktop.
50:53 [Audience question] Yes. It's a different question. 'Cause like the City of Denver, you know, has like 300 buses it has to route.
50:58 They have to stick to desktop to do that?
51:02 Well, if they're trying to do that in one big solution, absolutely.
51:06 If they just want to click it once and say "go" and let the route solve, they'd have to use the desktop.
51:14 We talked about tracking vehicles and the larger fleets. Any other additional frequently asked questions?
51:21 These are all really good questions. I talked about that.
51:28 Let's talk about the business partner program real quickly before I introduce a business partner.
51:33 And the ArcLogistics reseller program is focused at Esri business partners who will do end-user sales of ArcLogistics.
51:42 And we've had some very good business partners who have resold the desktop product. Greg's one of those, amongst others.
51:48 And this program's also in place with a couple of interesting twists for the online product.
51:54 We expect the reseller to do end-user sales.
51:57 They will provide their own professional services as well...
52:00 ...and will have a separate revenue stream from doing custom data integration...
52:05 ...training, maybe some industry-specific implementations, tracking and telematics...
52:10 ...exporting route and stop information back and forth between the customer's systems, and providing the end-user support.
52:18 The online reseller business model's a little different. If you're an ArcLogistics...excuse me.
52:23 If you're an Esri business partner, you know you traditionally get your points, your 30 percent of the initial sale...
52:29 ...and that's all you get for that opportunity; you don't get anything on the maintenance.
52:33 With the subscription program for ArcLogistics, you will get 30 percent on the initial sale...
52:40 ...you will get 30 percent on the subsequent years' subscription if you as the business partner renew the customer.
52:50 If the customer doesn’t renew through you, if they come through Esri, they become an Esri customer.
52:58 To be part of this program, you must be an approved ArcLogistics reseller.
53:04 That means you need to be an Esri business partner and then be approved to be a reseller.
53:08 You need to submit a business plan, need to know the product and be able to support it, and be an active ArcLogistics reseller.
53:16 The way the process works, if you want to be an ArcLogistics reseller, after being approved to be a business partner...
53:21 ...you fill these docs out. The Business Partner Group and Carl and I review those and go ahead and process those.
53:28 The business partner does provide tier 1 customer support.
53:31 In exchange for the recurring revenue, you have to renew the customer as we talked about...
53:36 ...and you need to continue to generate new subscriptions in order to be eligible for the recurring revenue.
53:45 With that, I'm going to turn it over to Greg.
53:46 He's going to talk a little about his business as an ArcLogistics reseller and has a very interesting use case for you.
53:53 Thanks, Rich. Thanks, everybody, for being here.
53:56 I don't have a radio voice. Can you hear me okay? Works? Okay.
53:59 So Route Solutions, we've been Esri partners for a little over nine years now.
54:05 As you can tell by the name, we specialize in all things transportation, and we focus on the ArcLogistics product.
54:10 And over those nine years, that's evolved of course, but we've worked with, as you can see, numerous clients.
54:17 So we have an excellent foundation across many industries, and like Rich mentioned today...
54:25 ...I'll show you both a partner integration and a case study based on that history.
54:30 So for the value-added services, of course business partners get involved with end-user training...
54:36 ...so we offer on- and off-site user training, and often could be a room like this or it could be one-on-one training.
54:43 It could also be up-front training or follow-up training. All those are pretty common scenarios.
54:50 Client-specific customizations. ArcLogistics does a good job of handling most of the business rules.
54:55 I'll go into that deeper in a slide.
54:58 But we've done a lot of client-specific work. It could be something like a solver.
55:03 We've done clustering solves that are different.
55:05 They approach the problem differently than the out-of-the-box solver.
55:08 We've done geocoding, for instance, via web service, so we've done all sorts of different customizations there.
55:15 And the most common customization would be getting the data in and out of the system, so I'll go into that a little deeper also.
55:23 The partner integration I'm going to speak about is TomTom WORK.
55:26 Hopefully you'll visit us down at the TomTom WORK booth. That's in the 2700 line over there.
55:36 So the first thing I encountered, you know, from the first customer on through the last one I've worked with is...
55:42 ...they say, I understand the capabilities of this routing software, but it may not work for us because our business is very unique.
55:49 And that's, you know, fair enough. That's true.
55:51 It's rare that you would come across two businesses that have the exact same challenges.
55:56 But the beauty of ArcLogistics is that it's able to adapt to the typical challenges that are faced.
56:02 For instance, Rich mentioned time windows. These specialties like the people requiring Jeff to be the driver that visits them.
56:11 Capacities. All these things are wrapped nicely into the software.
56:13 It does an excellent job of handling most of these things that do make these businesses unique.
56:20 There are also advanced rules. And this is just cutting edge, where we're now able to handle restricted streets better.
56:25 Previously we had to walk away if someone said...
56:27 ...well, we have hazardous materials or we have, you know, certain weight restrictions.
56:32 Well, now we can handle all those with the improved data that's provided from the digital map companies...
56:36 ...and also the network dataset allows us to handle all sorts of turn restrictions, U-turns, et cetera.
56:42 And customization in integration. So where Esri's done a great job of packaging most of that into the user interface...
56:51 ...there are times where we of course have to improve upon or customize some of those integration aspects.
56:57 Like I said, import/export's the most common.
57:00 Some people still use archaic systems, while other people are on cutting edge...
57:04 ...you know, they're trying to use web services and XML to pull their data in. And we can assist no matter what the case.
57:12 And we do full partner integrations.
57:14 The one we'll be showing is TomTom WORK, where we've actually taken the full feature set of the Esri offering...
57:20 ...and we've made it work with the full feature set of TomTom WORK. And I'll go deeper into that.
57:26 And for these implementations, it's usually a good time to talk about the workflow itself...
57:31 ...because sometimes you're just replacing another routing system that they no longer favored...
57:38 ...and other times you're replacing entire aspects of their operation.
57:41 Sometimes, you know, you're replacing three or four arduous steps that they're handling every day.
57:47 And of course I already touched on training. That's...
57:50 You of course have to teach the user how to use the software...
57:53 ...but typically we also have to train the software about the implementation itself.
57:57 We have to train it to...cases like the Jeff rule, all these sorts of specifics, client by client.
58:05 So the expectations that a typical ArcLogistics customer would have.
58:08 Of course they're buying this and I'm in the room because they expect route optimization...
58:14 ...but they of course want to maintain their rules. They prefer evolutionary not revolutionary routing.
58:19 They want to keep business similar to the way it's being performed now but optimize it as is.
58:26 And they also want to set expectations to drivers, so the most common case we already saw...
58:31 ...the beautiful wall maps and, like Rich mentioned, the yarn between points.
58:36 These actually do happen where they've pretty much assigned a group of work, handed it to a driver...
58:41 ...and said, "Please do your best and don't incur overtime," and that's their current optimization method.
58:47 So with this technology, we're able to set very concise expectations for the drivers.
58:53 And the return on investment. Of course, since we went through the cost of the application...
58:59 ...we have a very clear picture of what the costs are...
59:01 ...and therefore, we need to have a clear picture of how to collect an ROI on that investment.
59:07 Luckily, that's pretty easy to do with ArcLogistics because we're using the real street network...
59:11 ...we have an example of how the routes looked previously, and we have an example of what they will now become.
59:16 And typically, the return on investment is not only easy to prove but easy to attain.
59:22 Another expectation of course is that we integrate with their current workflow.
59:26 That could be a CRM system, that could be some sort of tracking or navigation system.
59:32 They're not only looking for integration, but they're typically looking to make it easier than it was previously...
59:38 ...so of course that's understandable.
59:40 And as Rich mentioned, they may not be a logistics shop, and they're certainly probably not a GIS shop.
59:48 A lot of times, the first time we show their stops on the map...
59:51 ...it might be the first time they've ever seen that information on a map...
59:54 ...so their minds race with all the opportunities of seeing all these routes on the map and being able to rework routes...
1:00:01 ...dissolve routes, do whatever's necessary now in the spatial world to make more efficient routes.
1:00:07 And there's also now the opportunity for real-time awareness, because now that we have the routes planned...
1:00:12 ...we know exactly when certain drivers should be in certain positions...
1:00:16 ...and whether they use [ArcLogistics] Navigator, TomTom, whatever system of their choosing...
1:00:20 ...we have the opportunity to see the plan versus the actual of what's actually taking place versus what was expected.
1:00:28 So the partner integration I'll speak about is TomTom WORK. If you're not familiar with TomTom WORK...
1:00:34 You're of course likely familiar with TomToms. TomTom WORK is the commercial edge of the TomTom company.
1:00:42 So they're offering connect to navigation solutions.
1:00:45 You're already familiar with the TomTom head units, the GO unit like in this image...
1:00:50 ...but they also offer the ability to track those units. That's where the connect to navigation comes in.
1:00:56 The second image is of a LINK box; that's essentially a modem that uses the cell network to report positions back to the office.
1:01:04 So with this solution, of course you're getting navigation, you're also getting these position reports...
1:01:09 ...you're able to two-way communicate from the office and the vehicles. So that could come in the form of messaging.
1:01:15 You can push/pull jobs back and forth.
1:01:17 If someone's running behind, you can interactively pull jobs from them and push them to another driver.
1:01:23 And of course, the drivers are marking items as complete so you're gaining all this information in real time...
1:01:30 ...that's flowing back to the office as it's happening.
1:01:33 And I'll refer to WEBFLEET.connect.
1:01:34 That's the API by which we're able to send information to these devices and collect it as it's happening.
1:01:42 So the integration itself was built by Route Solutions; it's a pretty simple wizard-style export.
1:01:48 What it's doing is a solution such as what you saw displayed on-screen would be sent to the cloud...
1:01:55 ...sent to the TomTom cloud, and that's done via the wizard that's shown.
1:02:01 Important to note that the devices, it's all being done wirelessly so as is often the case, they may not even come to the office.
1:02:08 They might be leaving from their residences in the morning.
1:02:11 And they're able to actually send the ArcLogistics optimized routes in that sequenced form directly to the driver's device...
1:02:18 ...so that when they boot it up in the morning, they already have their list of all their sequenced stops for the day.
1:02:23 They don't have to dial in to the office or get them in any other way.
1:02:29 So I want to show you a case study briefly about using this partner integration.
1:02:34 The client was a large retailer in the U.S., and the work was interesting; it was credit collections...
1:02:42 ...so very interesting use of ArcLogistics, but it's very capable of handling these kind of problems.
1:02:49 [Unintelligible audience question]
1:02:51 It's nice to work with revenue generating cases.
1:02:55 But they have...45 drivers are using this, so the office is using ArcLogistics.
1:03:01 As mentioned, they're sending the optimized routes out to these TomTom WORK devices.
1:03:06 Many of the drivers leave from offices, many of them leave from their homes; they're spread out all across the southern U.S.
1:03:12 So pretty remote locations often.
1:03:15 So they're using the combination of these two products in this case.
1:03:20 So the challenges for this client, again, they say, Our business is unique; we're not sure this is going to work for us...
1:03:25 ...because of the spread-out drivers. They say not only are they spread out, they all start and end at different places...
1:03:32 ...but I've got some rough neighborhoods I go to. I'm doing debt collection, after all.
1:03:36 And I want to send certain drivers to those ZIP Codes; I want to send Bruno to these three ZIP Codes...
1:03:41 ...because he's ex-navy, he can hack it. Okay?
1:03:45 So their methodology before was we're going to sort these into ZIP Code stacks, and we're just going to hand them to drivers...
1:03:52 ...and they'll know what's best because they, you know, they get paid an hourly wage plus commission...
1:03:56 ...so everything's going to work out just fine.
1:04:00 The way we solved that with ArcLogistics was, it's already aware of the geography itself.
1:04:06 If they're starting towards the west, it's going to gravitate to give them work from the west.
1:04:11 But they can also use those zones, so it's just a rule where, for whatever reason they want to give that driver these three ZIP Codes.
1:04:18 That's a perfect case of why you would use a zone, and they do.
1:04:22 And instead of the driver sequencing their route, they're actually, you know, coming to the driver in a sequenced fashion.
1:04:27 They would have to go out of their way to mangle the route.
1:04:31 And another big situation was, they have priority-based routing.
1:04:35 They have a hundred thousand accounts that come to them every month...
1:04:39 ...but they have to find the 20 percent that have the most meat on the bone.
1:04:42 That could be because they have to collect the most money.
1:04:44 They could be so far past due that they're, you know, desperate to make a deal with the client...
1:04:49 ...or maybe someone said, well, come by next Saturday; that's a promise-by date that I've listed there.
1:04:53 So the way that ArcLogistics handles this is that we preprocess and we flag the big money accounts with a high priority.
1:05:00 So whereas the driver used to say, well, I'm going to go to this ZIP Code and knock everything out...
1:05:04 ...they might have hit 80 percent low priority, whereas now, ArcLogistics is sending them to these very high-priority accounts.
1:05:11 And sure, they can do backfill if there's, you know, time slots available, it'll work in the normal priorities.
1:05:16 But it's intelligently attempting to get to the high-priority items.
1:05:21 And the actual field productivity challenges.
1:05:23 So prior to this, they had no in-vehicle navigation...
1:05:26 ...so now they have upgraded to the world leader in, you know, navigation technology.
1:05:31 And like I mentioned, the routes are coming to them each day already sequenced...
1:05:35 ...so it's a huge upgrade in terms of navigation.
1:05:39 They had very basic tracking before, but there was really no connection between the routing...
1:05:43 ...so you would have to have a few screens up to see the routing versus the tracking...
1:05:46 ...and kind of have to determine manually if someone is running behind or ahead, whereas now, they are able to see both.
1:05:54 They actually have dashboards, you could call them, where they're seeing who's ahead or behind...
1:05:58 ...who's trailing in terms of revenue collected versus exceeding that.
1:06:02 So they have much stronger tracking capabilities because it's all interconnected.
1:06:07 And also they had full laptops before. So like I mentioned, they're not going to the best neighborhoods.
1:06:12 They had problems with these being stolen or broken, and they were actually more expensive than the TomTom solution...
1:06:18 ...which has a monthly fee as well.
1:06:20 So because they're portable, they can always tuck them into their jackets if necessary to keep them out of other people's hands.
1:06:29 So the actual workflow begins with ArcLogistics; that's where we're creating these route plans...
1:06:33 ...taking into account that we want to hit the high-priority items and certain geographies.
1:06:38 When they're satisfied with those routes, they get uploaded via WEBFLEET. That's, again, the API for TomTom.
1:06:45 And they're going directly to the devices of the drivers.
1:06:48 So as the events are taking place, that's all being collected in real time.
1:06:52 The events could be breadcrumbs, where the driver's at, at any moment in time...
1:06:57 ...but it's even more informative to see that they've statused a job as completed or collected...
1:07:01 ...or that they've statused a job as saying that the person that they visited wasn't too pleased to see them.
1:07:07 So all of this, you know, knowledge is collected during the day, and at the end, they analyze that day's activity.
1:07:14 They can tell, you know, if they're behind schedule, maybe they need to start running more overtime.
1:07:19 Those kind of things, you know, at a macro level, they can look at it day by day.
1:07:24 And of course, then everything flows back cyclically through ArcLogistics again.
1:07:29 If they've already collected an account, it is removed from the list...
1:07:32 ...versus something else that now becomes past due is added to the list.
1:07:35 And really it's just a daily cycle that's never-ending for them to collect on these accounts.
1:07:41 So the return on the investment.
1:07:44 The first month that they used this, they went from 25 visits per driver per day to 43, a 60 percent increase.
1:07:52 And over that month, they collected 700,000 more dollars than they had the previous month.
1:07:57 So you know, like I mentioned, there're a large number of accounts, about a hundred thousand...
1:08:02 ...but it's a very significant amount of money that they increased.
1:08:05 And it's for various factors. Like I mentioned, they have now optimized routing, they have in-vehicle navigation.
1:08:11 They're also...the expectations have been set, so they're very much aware that they're being watched...
1:08:17 ...and that they need to be productive each and every day.
1:08:20 And so, as you look at it, the return on investment was just a matter of days for this client.
1:08:25 And this was in quarter 4 of last year, so they're continuing to use the product now.
1:08:32 That's all I have. We're going to do some Q&A. Rich'll head that up.
1:08:36 Great. That's a great example.
1:08:38 Thank you. Thank you.
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