Vehicle routing is the process of planning the most efficient sequence of delivery stops and travel routes for a fleet of vehicles to fulfil a set of customer orders within operational constraints. Those constraints typically include vehicle load capacity, driver hours regulations, customer delivery time windows, road restrictions and fleet availability. Route optimisation software calculates vehicle routing solutions that minimise distance, time, cost or a combination of these, producing daily route plans for each driver. For UK distribution businesses, effective vehicle routing is one of the most direct ways to reduce cost per drop and improve on-time delivery performance. Integration between route optimisation systems and Microsoft Dynamics 365 Business Central ensures that routing plans are built from confirmed order data and that delivery outcomes flow back into Business Central's financial and customer records.
How vehicle routing connects to Business Central
Sales orders released in Business Central are transmitted to the route optimisation system, which builds vehicle routes based on delivery addresses, vehicle capacity, driver hours and customer time windows. The system produces a route plan for each vehicle, which is sent to the driver's mobile device. As deliveries are completed and electronic proof of delivery is captured, confirmation data flows back to Business Central via API or Power Automate, updating sales shipments and triggering invoice generation where configured. Power BI connected to Business Central can then report on route efficiency, cost per drop and on-time delivery performance by route, driver and depot.
Vehicle routing in practice
- A regional distributor implements route optimisation integrated with Business Central, reducing average vehicle mileage by 14% in the first quarter and cutting fuel spend by a comparable proportion without reducing delivery coverage.
- A logistics planner uses the route optimisation system to consolidate 22 daily routes into 19 by sequencing deliveries more efficiently, freeing three vehicles for other work without additional hires.
- A transport manager uses vehicle routing data in Power BI to identify that two routes consistently exceed planned mileage, investigating the cause and finding that two customer locations have inaccurate postcode data causing navigation errors.
- A business uses dynamic re-routing during the day to incorporate urgent same-day delivery orders into existing routes without deploying additional vehicles.
How Advantage connects route optimisation to Business Central
Advantage integrates vehicle routing and route optimisation platforms with Business Central, connecting order data, despatch confirmation and delivery performance reporting into a single operational picture. We help distribution businesses close the loop between route planning and financial recording, eliminating the manual reconciliation that often sits between transport and finance systems.
Read our guide to route optimisation for UK distribution businesses →
Frequently Asked Questions
Common questions about vehicle routing and route optimisation for UK distribution businesses.
What is the vehicle routing problem?
The vehicle routing problem (VRP) is the operational challenge of determining the optimal set of routes for a fleet of vehicles to make a set of deliveries, given constraints such as vehicle capacity, driver hours, customer time windows and road network conditions. Route optimisation software solves the VRP computationally, producing routing plans that minimise mileage, time or cost.
What is the difference between static and dynamic vehicle routing?
Static routing plans routes in advance based on the day's confirmed orders, typically the evening before or early morning. Dynamic routing adjusts routes in real time as new orders arrive, deliveries are completed or unexpected delays occur. Most UK distribution SMEs use static routing for daily planning, with dynamic adjustment capability for urgent changes during the day.
How does vehicle routing connect to Business Central?
Route optimisation software receives confirmed sales orders from Business Central, sequences and routes them for each vehicle, and then sends despatch confirmations back to Business Central as deliveries are completed. This means Business Central's posted shipments, customer records and accounts receivable are updated based on actual delivery outcomes rather than requiring manual reconciliation between the route planning and ERP systems.
