LGA highlights cost savings from optimising routes

Councils could potentially save hundreds of thousands of pounds by using technology such as mobile, web-mapping and satellite tracking to increase the efficiency of their waste and recycling collection rounds, according to a report published by the Local Government Association (LGA).

The study, entitled ‘The Value of Geospatial Information to Local Public Service Delivery in England and Wales', identifies waste collections as one of the key areas where using the technology had helped councils save £230 million in 2009.

This is money which can be ploughed into vital frontline services on which millions of people rely each year, and is yet another example of councils striving to be more efficient to make their stretched budgets go as far as possible

 
Cllr David Parsons, LGA

In particular, it cited the experiences of Daventry district council, in Northamptonshire, where using location-based technology to plan waste collection routes resulted in £223,000 in savings from reduced mileage, less overtime, smaller vehicles and fewer rounds.

Councillor David Parsons, chairman of the LGA's improvement board, said: “Whether it's bin men working smarter, fewer phone calls to inquiry centres, freeing up staff from time-consuming checks or reducing parking ticket machine maintenance costs, making the most of modern technology and data sharing has seen huge cash savings across the country.

“This is money which can be ploughed into vital frontline services on which millions of people rely each year, and is yet another example of councils striving to be more efficient to make their stretched budgets go as far as possible.”

Councillor Parsons also said the report, which was produced for the LGA by consultants ConsultingWhere and ACIL Tasman, concluded that using this kind of technology and information sharing could potentially save councils up to £372 million by 2014/14.

“In this climate of strained budgets, councils must strive to keep reaching more residents and improving services ever more creatively, and look at more ways of working together to make these big savings,” he added.

Daventry

The report outlines how Daventry district council used geospatial technology to optimise household waste collection routes under a project which began in October 2006, aimed at generally improving the efficiency of waste management within Northamptonshire as a whole.

It explains that, after recording existing routes to act as baseline data, the council then matched these against “new electronic routes” which were then optimised electronically using RouteSmart software, which also developed several different collection scenarios.

“Daventry chose the one that best supported local need, while at the same time generating savings,” it adds, explaining that, initial cash savings included: £25,000 per annum from a 12-13% reduction in mileage; £17,000 per annum from spare capacity allowing for vehicle washing; £28,000 per annum from employee overtime being “virtually eliminated”; and, £25,000 saved from reducing the planned purchase of a six-wheeled collection vehicle to four-wheeled alternative.

The report also explained that the council had, since the initial changes, identified further savings using route optimisation to implement a four-day working week for collections, with the service being delivered using 16 rather than 18 rounds.

“This will yield substantial savings in manpower costs and avoid the need to purchase additional vehicles. Implementation of the plan will generate cash savings of £153,000 per annum,” it added.