GLS France optimizes last-mile deliveries with Kardinal's solution
GLS France, a leading player in parcel delivery, has chosen Kardinal to optimize last-mile B2B and B2C operations at key depots, supporting subcontractor route management and contract renegotiations.
For the key GLS France depots where Kardinal’s solution was deployed, the stakes are high:
33 depots
~1,000 routes optimized in 3 months
Expected 5–10% reduction in tours and unit delivery cost
About GLS France
GLS France is part of the international GLS network, providing reliable parcel delivery services for B2B and B2C customers. With a network of 10 hubs and 96 depots, GLS France handles a large volume of parcels daily, requiring efficient route planning and sectorization to maintain high service quality and control costs.
Pre-project overview
GLS France faced tight deadlines due to the end of subcontractor contracts and the need for accurate data for renegotiation. Manual RFPs and route redistribution were time-consuming, and rapid deployment across key depots managing last-mile subcontractor routes was crucial.
Objectives:
- Redesign last-mile transport plan for B2B and B2C operations at key depots
- Enable depots to simulate and optimize routes quickly
- Reduce number of tours and unit delivery cost
Pain points:
- Tight deadline for renegotiations
- Manual and time-consuming processes
- Rapid deployment required across 33 depots
The solution
Why Kardinal?
Kardinal deployed its TAO (Territory Analytics & Optimization) solution to support GLS France’s subcontractor renegotiation by leveraging historical data to recalculate sectors and key KPIs.
- Rapid deployment: TAO was provided to 15 depots in 1 week, expanded to 33 depots in 2 weeks.
- RFP support: Routes were simulated to provide actionable insights for tender preparation.
- Operational integration: Depots could quickly model scenarios, optimize sectors, and prepare accurate bids for subcontractors.
The benefits
Quantitative benefits:
- ~1,000 routes (~1/3 of France) optimized in 3 months
- Expected reduction of 5–10% in tours per depot and unit delivery cost per parcel
- Potential annual savings: €10 million
Qualitative benefits:
- Intuitive, easy-to-use tool
- Flexible configuration to handle complex operational constraints
- High relevance of outputs for depot managers
- Adoption driven by the depots themselves, with directors requesting the tool
Operational impact:
- Faster and more accurate subcontractor renegotiations
- Better workload distribution
- Increased efficiency across depots
GLS France’s partnership with Kardinal demonstrates how advanced tactical planning and route optimization tools can transform last-mile operations, reduce costs, and strengthen service quality, all while enabling rapid decision-making across a nationwide network.