Transport/Logistics

Milk run logistics

A milk run is a transport route in which one vehicle collects from or delivers to several locations in a planned loop, usually on a fixed schedule. Instead of each supplier or customer being served by a separate shipment, their goods share one vehicle. The name comes from the dairy trade, where a single truck collected milk from several farms on one round.

How does a milk run work?

Milk runs are common in manufacturing, automotive and retail supply chains, particularly for just-in-time inbound supply. There are two main types:

  • Inbound milk run: a vehicle collects parts or materials from several suppliers and delivers them to one plant or warehouse.
  • Outbound milk run: a vehicle leaves one distribution centre and delivers to several stores or customers before returning.

Routes, stops and time windows are planned in advance, often in a transport management system (TMS), so each loop runs at regular intervals with predictable volumes.

How do milk runs affect transport emissions?

By combining small shipments into one vehicle, a milk run raises the load factor and reduces the number of vehicles and empty kilometres on the road. This usually lowers CO₂e emissions per tonne-kilometre compared with sending each shipment separately, in the same way as freight consolidation.

The effect depends on how well the route is planned, though. Frequent loops with half-empty vehicles or long detours between stops can cancel out the gain, which is why companies compare emissions per route or per shipment before and after switching to a milk run. BigMile helps companies calculate emissions for individual shipments within consolidated load journeys, like a milk run.

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