What Does It Mean to Plan Delivery Routes?

Textbook Definition

Route planning is the process of determining the most efficient sequence of stops for a delivery vehicle, typically by grouping stops into geographic zones and ordering them to minimize distance, time, and cost.

In Plain English

Planning delivery routes means deciding ahead of time which stops each vehicle makes and in what order, so it drives the fewest miles to make them. You group stops into zones, give each zone a regular time, and pack the vehicle in stop order.

Why Does "First Come, First Served" Cost So Much?

It feels fair. It is fair to the customer. It is not fair to the truck. When stops go on the list in the order the phone rang, the vehicle crosses the same roads over and over. Every mile without a delivery at the end of it costs fuel, time, wages, and wear.

Customers pay for stops, not miles. Routing cuts the miles. Zones keep vehicles out of each other's way. A load plan saves minutes at every stop. And one number, cost per delivery, tells you whether it is working.

Signs you have this problem:

  • Your vehicles are half empty for much of the day.
  • Two vehicles visit the same area on the same morning.
  • Drivers unload half the load to reach the first stop.
  • Fuel is one of your biggest bills, and you assume it is because you are busy.
  • Stops are added in the order customers called.
  • You have never drawn yesterday's routes on a map.
Driving all day is not the same as delivering all day. Draw the routes and the difference becomes obvious.

What It Looks Like When the Truck Crosses Its Own Path

From the Fabled Forest · Chapter 12

Dumpster Dani runs a busy hauling and delivery depot. One morning, Doctor Owl rode along for nine stops. The truck went north, then south, then east, then north again. They passed the library five times before they stopped there. The truck was half empty from the third stop on.

At lunch, Dani's drivers, the Possum brothers Rufus and Roy, reported eleven stops, including two trips to the docks. They had also been to the bakery cart. So had Dani. Twice. Dani drew both routes on a map. They crossed eleven times.

The brothers had known the fix for a long time: four zones, one truck per zone per run, and a load plan, last stop in first. On the first try, Dani finished half an hour early. The first load plan broke some jam jars, so she added heavy on the floor and fragile on top, plus one paid rush slot per zone. Fuel per delivery dropped by a third.

Dani's story is Chapter 12 of Operations for Small Businesses, Book 3 of Dr. Paul's Fabled Forest Business School Series.

How to Plan Delivery Routes in 5 Steps

You need a map, yesterday's stops, and your drivers in the room.

  1. Draw yesterday's routes on a map.

    Every vehicle, every stop, in order. Look for crossings, repeats, and half-empty runs.

  2. Divide your area into delivery zones.

    Group nearby stops. Give each zone a regular day or time, and one vehicle per zone per run. These are your delivery zones.

  3. Order the stops within each zone.

    Plan the shortest sensible path. Orders for a zone after the vehicle leaves go on the next run.

  4. Load in reverse stop order, with two exceptions.

    Last stop in first, first stop by the door. But heavy items always go on the floor, strapped, and fragile items on top of light ones, whatever their stop.

  5. Track cost per delivery every week.

    Fuel cost divided by the number of deliveries. If the number falls, your routes are working. This is fuel per delivery.

Dr. Paul's Insight

The most common mistake is planning the routes yourself without asking the drivers. They already know every shortcut, every wasted mile, and every customer who is never home at 9:00. Many have been quietly waiting to be asked. Also, keep one paid rush slot per zone. Customers who truly need it today can have it, and it becomes a stop on the way, not a special run across town.

Worked Example: What the Extra Miles Cost Before zones: about $0.90 in fuel per delivery. After zones and a load plan: about $0.60 per delivery, a drop of one third. At 40 deliveries a day, that is $12 a day, or about $3,000 over a 250-day year, in fuel alone. Add the time saved: finishing a run 30 minutes earlier frees time for more stops without another vehicle. Figures are an illustration to show the math, not a projection for your business.

Sample: A Zone and Load Plan

Each zone gets a vehicle and a time. Each run is loaded in reverse stop order.

Business: Local deliveryVehicles: 2Runs: Morning and afternoon
ZoneMorningAfternoonRush slot
North and squareTruck 12:00 pm
River roadTruck 22:30 pm
East hollowsTruck 110:30 am
Docks and harborTruck 211:00 am

Sample for illustration. Load rule: last stop in first, heavy on the floor, fragile on top.

Send Every Order Out Alone?

In the book, Talon Fire Pizza, a new shop on the square, keeps showing the forest a faster way. Every one sounds efficient. Every one works for a while. Every one breaks down on the busiest day. Here is the one in Chapter 12.

The Shortcut

Send every order out the moment it is ready, alone, so nobody ever waits.

Why It Works for a While

Customers love the speed, and the vehicles always look busy.

What It Costs

Vehicles cross town half empty all day. Fuel and wages eat the margin, drivers burn out, and the vehicle you need is always on the wrong side of town.

If speed is part of your promise, batch by zone for a few minutes. Two orders for the same area on one trip are almost always faster for the second customer than a vehicle that has not come back yet.

Video: How to Plan Delivery Routes That Save Fuel

Video Coming Soon

How to Plan Delivery Routes for a Small Business

Dr. Paul draws a day of routes, splits them into zones, and builds a load plan on screen.

How Many Times Have We Passed the Library?

Chapter 12 · Routing and Load Planning

Half a Truck, Twice the Trip: A Raccoon's Map

"Dani," he said. "How many miles do you think we have driven this morning?"

"Dunno. Lots." She took a corner. "We're busy! Nine stops!"

"How many times have we passed the library?"

Dani thought about it. Her ears went back a little.

"Four?" she said.

"Five," said Doctor Owl. "We are about to pass it again."

They passed it again.

What did Dani's two drivers already know, and how much fuel did it save? Find out in Chapter 12. Book 3 of Dr. Paul's Fabled Forest Business School Series.

Get the Book on Amazon →

Delivery Route Questions

How do I plan delivery routes for a small business?
Map your stops, group them into zones, and give each zone a regular delivery time with one vehicle per run. Order the stops in each zone by the shortest sensible path. Load the vehicle in reverse stop order, and track fuel cost per delivery each week.
What is a load plan?
A load plan is how you pack a delivery vehicle so each stop's items are easy to reach. The basic rule is last stop in first and first stop in last, by the door. Heavy items go on the floor and fragile items go on top, whatever their stop.
What are delivery zones?
Delivery zones are sections of your service area, each served on a set schedule by one vehicle. Zones stop vehicles from crossing the same roads repeatedly and let customers know when to expect a delivery in their area.
How do I measure whether my routes are efficient?
Track fuel per delivery: total fuel cost divided by the number of deliveries in the same period. Also watch stops per hour and miles per stop. If those numbers improve after a change, your routes are getting more efficient.

Written by Dr. Paul Borosky, DBA, MBA, business consultant and author who helps owners build businesses that run on systems. Want help cutting the miles out of your delivery day? See fractional COO services.

This page is for general educational purposes only. It is not legal, safety, employment, financial, or tax advice. Safety and employment rules differ by place and industry. Dollar figures are illustrations. The Fabled Forest and its characters are fictional. For decisions about your own business, consult a qualified professional.