Efficiency Redefined: Araza's Logistics Success Story with Drivin

In the fiercely competitive realm of food distribution, every detail matters. 

From delivery efficiency to route optimization, companies are on an unrelenting quest for refining their operational prowess. Araza, a distributor of ice cream and refrigerated products under brands like Savory and Nestlé, is no exception.

Araza faced significant challenges in its logistics operation that went beyond simply delivering products on time. These challenges included route allocation, optimizing a fleet of trucks, and the need to keep operational costs under control.

Eduardo Aravena, General Manager of Araza, shares his experience with Drivin below.

Araza's Operational Challenge and Its Solution

Before implementing Drivin, Araza was in a delicate logistical situation. The company relied solely on a logistics coordinator to handle the routing of its entire truck fleet, serving around 1,500 clients at the time.

"This person was the one who did the routing and did it based on their experience and knowledge of the city. Many process opportunities were manual, and we had problems with overloading the vehicle's capacity by over 100%, as well as inefficient routes," he adds.

This manual and highly centralized method not only generated operational inefficiencies, but also exposed the company to significant vulnerabilities.

For example, if the coordinator fell ill or was unavailable for any reason, the entire routing system could be compromised. Additionally, the lack of an automated system meant the company couldn't adapt quickly to changes or unforeseen circumstances, affecting service quality and operational costs.

Araza decided to tackle these problems head-on, specifically Eduardo, by seeking a technological solution that could automate and optimize their logistics chain, with the aim of achieving a more efficient, resilient, and scalable operation. That's how they came across Drivin in late 2019.

"That's where our curiosity sparked, to begin searching for a tool that could make our lives a bit easier and not rely on a single person. Because if that person fell ill, no one knew how to handle the routing."

The Solution?

Drivin addressed the issue of manual planning with the Planning Module, generating efficient and optimized routes where a new driver could start working immediately without a lengthy adaptation period.

Drivin's TMS calculates the most efficient route in real time, considering multiple variables such as traffic, weather, and load restrictions. This not only speeds up the onboarding process but also reduces the likelihood of human errors.

"The good thing about Drivin, and what brings us many benefits, is precisely when a new driver or assistant comes in and doesn't need to know the area because Drivin provides the optimal route through the mobile application. All they need to do is press the 'start route' button on their mobile," Eduardo explains.

The Planning and Automatic Assignment module is the most used by the company, allowing drivers to complete their work in eight hours instead of the twelve hours it used to take. "Now we're at 100% efficiency; before, we were at 70%," Eduardo points out.

"The change was drastic; in economic terms, we calculated that we saved about 30% of the operation's time, fuel, and man-hours, and more than economic savings, it's the operational efficiency that stands out the most," Eduardo comments.

"When we started our collaboration with Drivin, we were managing a base of approximately 1,500 clients. Today, that number has risen to almost 3,000, representing an impressive 100% increase in our customer base. Without a technological platform of this caliber, it would have been impossible," Eduardo notes.

Cold Chain Management

One of the most critical aspects of distributing refrigerated foods is maintaining the cold chain. The temperature of the products must remain constant to ensure their quality and safety. Araza has adopted a proactive and rigorous approach to address this challenge.

"In the morning, when the truck departs, we take a photo of the pressure gauge or temperature control of each truck. This information is included in the checklist of each vehicle," Eduardo explains.

This procedure ensures that each truck leaves with a controlled temperature, which is crucial for product integrity.

Advanced Refrigeration Technology

Araza's trucks use an eutectic plate refrigeration system instead of forced air.

Eutectic plates are devices used in refrigeration systems to maintain specific and controlled temperatures in environments where a constant temperature is required. These plates are designed to store thermal energy and release it gradually, allowing a desired temperature to be maintained for an extended period of time, even without a continuous power source.

In the context of distributing refrigerated foods, as in the case of Araza, eutectic plates are particularly useful for maintaining a constant temperature in transport trucks. These plates are chilled before the route begins and then gradually release coldness as the truck makes deliveries, ensuring that products remain fresh and at the appropriate temperature throughout the distribution process.

"This means that we don't need the truck to be running to maintain the temperature; we simply plug them in overnight," Eduardo adds.

Thanks to this technology, the trucks reach temperatures of approximately -35°C at the start of their route and maintain temperatures close to -20°C by the end of the day.

"This allows us to ensure that our products, from ice creams to other refrigerated foods, arrive in optimal conditions for our customers," Eduardo concludes.

Experience with Customer Service and Onboarding

When it comes to implementing new technologies, customer support and the onboarding process are aspects that can make or break the user experience. Many companies fear that transitioning to a new platform or technological tool will be complicated, or that customer support won't meet expectations.

"To be honest, we haven't really needed it much. We've needed support very few times, but we called our Customer Success Analyst, Carla Remar, and we quickly resolved everything," Eduardo comments.

This testimony speaks to the level of efficiency and user-friendliness of Drivin, where customer service becomes more of a safety net than a constant necessity.

Regarding the onboarding or initial implementation process, Eduardo shares that the only challenge was integrating with their existing ERP.

"Look, the only challenge we faced was integrating with our existing ERP, which wasn't initially configured for easy compatibility with Drivin. This led us to take a more manual approach to extract the necessary information to feed the Drivin system," Eduardo explains.

Despite the integration challenges, the Araza team was able to overcome them, demonstrating once again the flexibility and adaptability of both the platform and their own team.

Tips for Other Companies

In the business world, choosing a partner can be one of the most crucial decisions. It's not just about finding a company that offers a quality product or service, but also one that shares similar values and goals.

"In my opinion, a good partner is one that offers you the freedom to adapt and evolve; it's a vital element for any successful collaboration," advises Eduardo.

This advice goes beyond mere rhetoric. Eduardo emphasizes the importance of flexibility in a business partnership, especially in a dynamic and constantly changing environment like logistics and distribution. "Flexibility is a crucial part, but there's another aspect that's equally important: continuous innovation," he adds.

"It's imperative not to remain stagnant and always seek new ways to improve and expand. At the end of the day, we're all in business to grow in sales and efficiency, right?"

Conclusion

The implementation of Drivin has been a turning point for Araza, allowing them to improve efficiency, reduce costs, and focus on growth. "I think it's been a good experience.

"I believe the most important thing is that we've been good partners, and when this happens, you feel the peace of mind of working with companies that are really serious and that you can project yourself into the future with."

With Drivin, Araza has found not just a tool, but a strategic partner for their growth and efficiency in the logistics field.

If you'd like to learn more about what Drivin can do for your logistics operation, please leave your details in the form below, and a Drivin representative will be in touch."