Tuesday, April 17, 2012

Congrats to TNT Express on the Edelman Prize -- Global Logistics with Analytics and a Conscience

Although I could not be at the INFORMS Conference on Business Analytics & Operations Research Conference that is still taking place in Huntington Beach, California (April 15-17, 2012), one of my Center Associates, Dr. Padma Ramanujam of SAS, is there, and good news travels fast.

Yesterday, at the Edelman Awards Competition and Gala, the winner of this year's Edelman Prize (which is considered to be the Academy Award of Business Analytics and Operations Research) was announced.

This year's Franz Edelaman winner is TNT Express, the global logistics company!

According to the press releases:

 Every week 4.7 million parcels, documents, and pieces of freight must be transported by TNT Express to over 200 countries while maintaining the company's service standards. Until recently, this was done without mathematical support. In 2005 TNT moved to a fact-based decision-making system, the Global Optimization (GO) Program, which uses mathematical modeling.

TNT Express routinely uses such tools to enhance its transportation networks, resulting in more efficient routes and lower mileage.

"We are delighted to receive this award, which testifies to the sophistication and efficiency of TNT's operations," said TNT Express Managing Director Global Networks and Operations Chris Goossens. "Using operations research helps TNT save costs, improve service to customers and develop managers' skills."

The awarded GO program covers multiple aspects of TNT's operations, including site location planning, optimal truck routing, fleet management and staff scheduling. TNT Express carried out 200 network optimisation projects in 2011. Since 2005, TNT Express has saved 60 million kilometres of mileage and 54 million kg of CO2 emissions by optimising its domestic networks in Germany, France, Spain and Italy.

Isn't it wonderful to see network optimization, and the powerful tools of operations research, not only helping businesses but also the world by reducing the associated carbon imprint!

Congrats to TNT Express and to all the Edelman Prize finalists for showing the way -- doing good business can also mean being green.

Plus, just last week, in my Humanitarian Logistics and Healthcare class, I spoke about TNT Express and the World Food Program and how they had worked together, as well as on corporate social responsibility.