Clover optimizes Loading and Route Planning in Logistics

Industrial engineers bring 75th Start-up Scholarship to TU Dresden

The transport sector in Germany is booming. In 2021, almost 3 billion tons of goods were transported by road alone. To ensure that all of these goods can be delivered quickly and in a resource-saving manner, logistics companies rely on software support for planning. With its software, the founding team Clover Optimization at TU Dresden is now making transportation planning even more effective by combining two previously seperate planning steps. 

The industrial engineers Felix Tamke and Leopold Kuttner have developed algorithms for decision support as part of their research and project work at the Chair of Industrial Management. They make it possible to optimize the loading of vehicles already during route planning. At the end of 2022, the team was able to acquire the 75th EXIST start-up grant ("EXIST-Gründerstipendium") for the TU Dresden and has since been joined by  Maurice Morabel in the field of Venture Development. With the support of the funding, the team is now preparing to set up its own company.

Algorithms reduce planning time and transport costs 

"Route planning alone has to take into account many specifications, such as delivery time slots and different vehicle types. Since conventional route planning solutions neglect loading planning or only roughly estimate it, routes often cannot be driven as planned. They then have to be rescheduled, which is time-consuming and costly", explains co-founder Leopold Kuttner. "By integrating our algorithms into transport management software, freight forwarders can reduce their planning time, save transport costs and get more planning security." Initial tests with customers show that integrated loading and route planning can save up to 50% of planning time and 7% of transport costs, and reduce vehicle requirements by 8%. For forwarders with little information about the dimensions of the packages, the route planning module can also be used on its own. Logistics companies in particular, which have recently been under increasing pressure due to a shortage of skilled workers and low margins, can strengthen their situation again in this way.

Clover Optimization's customers are primarily logistics software providers. Thus, the algorithms are to be integrated into existing transport management systems (TMS). "TMS providers stand out from their competition thanks to the functional range of our algorithms and can thus win new customers as well as strengthen the loyalty of existing customers", adds Kuttner. The founders are therefore currently conducting intensive talks with potential pilot customers. Their goal is to have the software in active operation with the first customers by the end of this year and thus receive feedback for further development. 

On the way to their own company, the founders are supported by the startup service dresden|exists and Professor Udo Buscher, holder of the Chair of Industrial Management.  In the dresden|exists bootcamp, the team developed an initial business model and was thus able to lay an important foundation for the successful grant application. As a mentor, Professor Udo Buscher supervises the team during the startup grant: "The spin-off succeeds in transferring the potential offered by mathematical optimization into practice. With the algorithms they have developed, Clover Optimization ensures that transports are carried out efficiently, that the loading space is used in the best possible way, and ultimately that the environment is not unduly affected." 

With the EXIST programme, the Federal Ministry for Economic Affairs and Climate Protection supports innovative, technology-oriented and knowledge-based startups. The EXIST startup grant covers the cost of living for up to three founders for one year. In addition, the team receives a budget of up to EUR 35,000 for materials and coaching. Interested scientists and students can get support with the application from dresden|exists.

Contact:
Leopold Kuttner
Co-Founder Clover Optimization
TU Dresden, Chair of Business Administration, esp. Industrial Management
Tel.: +49 151 61216670

https://cloveropt.com/

Frauke Posselt
dresden|exists, startup service of universities and research institutions 
Phone: +49 351 463-36813

https://www.dresden-exists.de