Load factor
The load factor reflects the degree of loading of a transport vehicle (truck). The load factor is the ratio between the load capacity of a vehicle and the actual amount of goods being transported. Load factor is generally expressed in kilograms or cubic metres. Each distribution vehicle has a maximum permissible weight and maximum load volume, depending of course on the type of vehicle. If this maximum weight or load volume is approached, it is a high load factor. As high as possible pallets, a vehicle with as many pallets as possible is a maximisation of volume. As high pallets as possible means a high load factor.
A higher load factor leads to fewer trolleys on the road. Fewer cars on the road means a substantial reduction in CO2 emissions, costs and congestion.
A high load factor does not always equate to a high yield. Some goods are quite impractical to transport, for example due to a very high weight. This makes the load factor high, but due to the small number of goods that can be transported, the yield is limited. As a result, calculating the load factor is not always valuable.
How do we increase the load factor?
- Cooperation of logistics service providers
- Cooperation of shippers
- Longer lead times allowing shipments to be combined
- Better packaging of goods/ shipments so that better stacking is possible