# Fleet sizing cut operating costs by 16%

> More than 120 vehicles and a thousand trips a day allocated by a mathematical model that keeps serving new routes.

Sector: Logistics and transportation. Client: Public passenger transport operator (anonymous, per Orion policy).

## Results

- **16%** — reduction in operating costs
- **120+** — vehicles allocated by the model
- **1M+** — passengers carried per month

## The challenge

Serving more than a thousand trips a day and more than a million passengers a month requires deciding how many vehicles to allocate, on which routes and at what times. Excess fleet is idle fixed cost; a shortfall is unmet demand, and the break-even point shifts with every timetable revision.

Without a model, fleet sizing relies on history and the team's experience. That works as long as the network stays the same, but every new route reopens the discussion from scratch.

## The approach

Orion mapped the operation's variables and built a mathematical model to allocate resources so that demand is met at the lowest cost, taking into account the fleet's more than 120 vehicles and the trip profile of each route.

The model was delivered as customizable: new routes go in as parameters, with no need to remodel the problem. The operation now runs at 16% lower cost.

## Project objectives

- Reduce operating costs while maintaining the level of demand coverage.
- Size the fleet with a mathematical model rather than historical data.
- Make the model reusable for new routes.

## About the company

- 120+ vehicles in operation
- 1,000+ trips per day
- 1 million+ passengers per month

## Solution applied

[Logistics and Fleet Optimization](https://orionotimizacao.com/en/solutions/logistics-and-fleet-optimization) — Routing, fleet sizing and employee transport: operations optimized for total cost.

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