Vehicle Route Planning Using Saving Algorithm with Excel Solver Program Case Study Kosit Honey Farm

Abstract

The objective of this research is to study and propose improvements to the honey transportation route due to the current challenges face with the rising fuel prices as a result, it costs more fuel and the slow distribution of goods. Currently, businesses can only receive goods until 5:00 PM, causing delays in transporting goods over long distances, especially considering the increasing fuel costs. That researcher suggests adjusting the distribution method by dividing it into geographical subgroups and using the Saving Algorithm to organize the delivery schedule. The data is arranging in a matrix table, and Microsoft Excel Solver is use to find the most efficient route by obtaining coordinates from Google Maps. The goal is to maximize the distance cover while minimizing cost. The study considers 25 customers divided into groups based on they ordering frequency. The stores can receive goods until 5:00 PM. Using heuristic theory, the subgroups are designate as Br1, Br2, Cr1, Cr2, and Cr3. The research findings indicate that the original transportation route cover a total distance of 2,885.1 kilometers. After implementing the propose improvements, the total distance reduce to 2,583.9 kilometers, resulting in a decrease of 301.2 kilometers or 10.4%. This led to a fuel cost reduction from 9,186 baht to 8,537 baht, which is 7 percent of the original transportation cost. The goods can be deliveries before 5:00 PM. The total original transportation time was 3,591 minutes. After running the Solver program, the transportation time was reducing to 3,389 minutes, resulting in a decrease of 202 minutes or 5.6 percent.