Last mile represents the final step of the delivery process from a distribution center to a shop, a business or a final recipient. This is commonly considered the most complex and costly part of the supply chain, according to research its cost varies between 41 and 53% of the total Supply Chain cost contribution. Implementing a robust last-mile delivery strategy, underpinned by advanced technology is essential for all couriers and logistics operators.
What should be implemented and improved when optimising last mile operations?
The best Route Planner works around capacity and density efficiency
A route optimization software calculates the most efficient delivery routes and companies can eventually reduce travel time and fuel costs. The technology when paired with demand planning and data analysis can go beyond simple routes’ calculation but can implement a strategic division of territories, times and routes to maximize use of resources (e.g. drivers, vehicles) not only to ensure faster deliveries but also enhance successful deliveries and minimize failed deliveries.
Real-Time Tracking boosts transparency
Real-time tracking tools are crucial for improving transparency and a productive two-way communication. By providing accurate delivery updates and enabling orders tracking in real-time, companies can differentiate themselves, can manage expectations and exceptions.
Streamline Operations with depot and distribution automation
Automated dispatch systems play a vital role in allocating resources effectively. By automating the dispatch process, companies can ensure that deliveries are assigned to the most appropriate drivers based on factors like location, load capacity, and traffic conditions. This leads to more efficient use of resources and reduces the likelihood of delays.
Use Data Analytics to predict demand and enhance service offer
Data analytics is at the heart of a successful last-mile delivery strategy. By analyzing historical delivery data you can predict demand, calculate distribution patterns, maximize use of resources and save costs. The granularity of information that can be collected and elaborated can get to a very sophisticated and granular level to single fleet or even single driver performance.
Reduce Costs in the Last Mile
Eliminating the common inefficiencies that define the Last Mile, means reducing costs. An intelligent route planner, applying continuous intelligence to use collected data, organize territories and distribution services according to analytics, demand forecasting and best resources allocation.
Stay Competitive in a Dynamic Market
Companies that leverage advanced technologies to optimize their last-mile operations will be better positioned to handle increasing delivery volumes, adapt to changing trends, and maintain a competitive edge.
The conclusion is straight-forward, a well-defined last-mile delivery strategy, supported by cutting-edge technology, is indispensable for modern courier management.
