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Software Assists Buyers of Transport Services to Lower Costs and Reduced Environmental Impact

The Volvo Group, through Volvo Technology Transfer, jointly with KTH Chalmers Capital, is investing in Gothenburg-based Proxio AB. Proxio has developed the software solution Proxio Optimizer(TM) that assists buyers of transport services to enhance the efficiency of transport and logistics services, which in turn contributes to lower costs and reduced environmental impact. Proxio's solution has shown it could reduce a company's transport costs by at least 15% and fully implemented, Proxio Optimizer could contribute to annual cost savings of more than SEK 100 M for the Volvo Group.

The purchase of transport and logistics services is costly and the difficulty of correctly procuring and using various transport solutions often results in unnecessary costs for buyers of transport services. In addition to the costs, the inefficient use of transports has an adverse impact on the environment. Proxio Optimizer™ permits the user to simulate various alternatives and as a result reduce transport costs and environmental effects.

“Proxio has a very high potential since its software not only contributes to major costs savings but also permits a practical and effective planning of transports and, consequently, reduced emissions of carbon dioxide,” says Per Wassén, Investment Director at Volvo Technology Transfer.

Proxio Optimizer can calculate and optimize the discharge of carbon dioxide in evaluating different transport services and work is under way to further improve the efficiency of the software with regards to the environmental area.

“Part of the gain with Proxio Optimizer is the ability to understand and simulate different alternatives. Designing transportation setups, especially situations with a lot of competing alternatives, results in massive amounts of information. Proxio Optimizer allows users to turn that data into straightforward decision materials. Analyses that previously took months are done within days or a week”, says Henrik Erkfeldt, Project Manager at Volvo Logistics, responsible for methods and tools for logistic network optimization.

Volvo Technology Transfer AB is part of AB Volvo and focuses on developing and supporting new business relevant to the Volvo Group. Part of the effort is to invest in companies and projects that are technically and commercially attractive. Proxio AB will participate and present the software Proxio Optimizer™ at the Logistic & Transport fair, May 20-22, 2008 in Gothenburg.

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