Abstract: Method and system for generating vehicle routes, the method including: obtaining a plurality of bookings including pick-up and drop-off location; estimating, for each combination of two bookings, a groupability by determining a cost ratio of the combination as a ratio of the cost of the combination to the sum of the cost of the two bookings taken separately, wherein a higher groupability represents a lower cost ratio, and a lower groupability represents a higher cost ratio; identifying, based on the groupability, all bookings that may not be groupable to any other booking of the plurality of bookings, as ungroupable bookings; identifying, based on the groupability, all bookings that may be groupable to at least one other booking of the plurality of bookings, as groupable bookings; determining a vehicle route by applying a vehicle routing problem solver on the groupable bookings; and adding the ungroupable bookings to the vehicle route.