Wednesday, December 7, 2022

How To Choose The Best Logistics Solution For Last Mile Delivery

 


1) Why is last-mile delivery so important? Why is it so important?

Last-mile delivery is the final step in the delivery model. The final phase of the distribution process begins when a package is dispatched from a distribution center to its final destination, which is usually an end customer's address.

It's not just the most important part of the delivery model, since Customers expect to receive their packages on time and quickly, but it's also the most expensive part of the logistics and distribution model.

It is also the most logistically challenging, often causing the most bottlenecks and requiring a lot of resources, 

2) Choosing the best last-mile solution

Let's take a look at some key features to consider when choosing your last-mile delivery solution.

i) Automated dispatch and task assignment: This feature is essential for the Last Mile delivery logistics solution as it reduces delivery processing time as well as Last Mile costs by assigning the most appropriate fleet driver to the delivery at the right time.

Research has shown that cost savings through automated dispatch management software improve profitability by approximately 10% while reducing travel and fleet utilization times by approximately 15%.

ii) R Route Optimization: Inseparable from the automated dispatch system described above, route optimization is the most important feature that identifies the fastest and fastest efficient delivery routes.

It balances multiple variables including location, capacity, traffic and weather patterns, and road quality to achieve the optimal delivery route.

Modern automated last-mile systems also allow central teams to communicate directly with fleet drivers in real-time to make last-minute changes to routes, delivery times, etc. Some key functionalities include:

  • Reduced Delivery times
  • Minimized fuel consumption and fleet maintenance costs
  • Route visualization
  • Removed/ Minimized bottlenecks
  • Improved customer satisfaction

iii) Integrations (e.g. via API): The difficulty of integrating last mile software with existing systems (MIS, ERP solutions, etc.) has historically been a major challenge in adoption for customers and suppliers throughout the supply chain.

You don't want situations where the efficiency of a system isn't optimized or usable because you're using won't speak to anyone else.

One popular method is to use a convenient API to integrate with the (various) applications you are likely to use in your business operations.

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The COVID-19 pandemic served to accelerate user behavior that was already changing developed. Now they take care of free and fast delivery for all categories of products, be it a t-shirt, a TV or a battery.

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iv ) Real-time communication with fleet drivers and end customers - Another significant improvement of modern last-mile solutions is the possibility to communicate in real time with fleet drivers and end customers.

In addition to being notified when their package is ready for delivery, customers can be instantly notified of any last-mile changes via automated pop-ups, SMS, email (etc.)

Customers can also track the progress of their package by calling their delivery agent (driver, dispatcher) or connecting via chat windows.

v) Real-time fleet driver tracking: This is another next-generation improvement of the current Last Mile software. Gone are the days when drivers were cut off from communications as soon as they set off to make deliveries and centralized teams had to rely on payphones to call and provide updates.

Central logistics teams can now track fleet drivers, get real-time ETAs, and communicate any discrepancies or changes (e.g. an accident that caused a traffic jam and therefore the needs to be rerouted).

Resetting routes, ETAs, and delivery windows can be done almost instantly.

v) Contactless Deliveries: ePOD (Electronic Proof of Delivery) and Procedures Contactless delivery services were even introduced before the pandemic broke out. However, the advent of the pandemic necessitated it, and it has now become the norm.

Today's delivery software allows couriers to take photos, collect electronic signatures, scan barcodes, and register consumer feedback with their electronic . handheld devices (this can also be your mobile phones with the software installed) during delivery.

vi) Robust analytics and detailed reporting – From a management perspective, last-mile delivery software has become a really solid tool for executive teams.

As all data is tracked (increasingly if not completely) in an online ecosystem, all of this data is available for mining.

The software has robust analytics embedded with AI and machine learning capabilities: allowing data to be sliced ​​and diced in myriad ways. Key metrics, operational metrics, variances from scheduled appointments, customer feedback, service times, etc. are now calculated by the software on the fly. This leads to a wealth of information such as the ratio of failures to successful deliveries, resource utilization, driver performance, and analysis of groups such as drivers, vehicle type, hours of the day, week, day (etc)

Such insights aid in a comprehensive review of performance and management can act proactively to improve what is delivering positive results while taking action to address the deficit.

vii) Customer Feedback: And last but not least, collecting customer feedback just got a lot more convenient! After all, the goal of every business is to create and keep satisfied customers; That gets you to repeat orders.

Online feedback forms, customer ratings, and reviews help you get an idea of ​​what your customers are saying about you. This allows you to identify both strengths and areas for improvement.

3) Which industries use software solutions for last-mile delivery?

Although the list is long, we have some of the most important ones below Sectors listed.

  • Pharmacy: a leading sector utilizing home delivery and particularly affected by the pandemic. While it has its advantages, such as B. Reduced product returns and time savings for pharmacy consultants, it also means that the pharmacy has to work with lean overheads, a strong MIS, and an efficient delivery model.
  • Construction: Using the last mile Delivery solutions for the needs-based delivery of building materials to the construction site help to reduce the need for storage space and liquidity. In addition, both sectors are also making heavy use of the new hyper-delivery model and therefore last mile delivery is a cornerstone of their business.; therefore,
  • Restaurants: Another sector of the new era, is…. the home delivery model, which is now due to the hyper-fast delivery model. The pandemic has led to a massive change in customer behavior in this segment. Although the pandemic has receded, the consumer habit of dining out vs. Local food seems to have held up

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