What is last-mile delivery in a supply chain?
First, it is useful to explain what a supply chain is and what is the process available. Then you can easily understand what the last mile is and what is last mile delivery operation.
What is a Supply chain?
A supply chain is a flow of goods, information, money, and other resources which is start from the raw material supplier and ends with the final customer. A supply chain process includes purchasing, manufacturing, warehousing, transportation, customer service, demand planning, supply planning, and supply chain management.
What is the last mile of a supply chain?
The last mile is an ending part of a supply chain. Most of the time it is the delivery of goods for the final customer or destination. The origin point of the supply chain is called the first mile and the Final point is called the Last mile.
What is Last-mile Delivery?
The destination delivery process is named last-mile delivery in supply chain management. It is the most challenging part of the supply chain. Last mile related cost is higher than other parts of a supply chain. But the most important part is the last mile delivery due to most of the time customer satisfaction depends on the last mile delivery process.
Now you have a better idea of Last Mile delivery. Let’s move into the 7 steps of last-mile delivery Operation.
Steps of Last-mile Delivery operation
- Supplier’s order request data enter into the carrier’s operation system which handles the delivery process
- Relevant order is transport to the hub of transportation
- A delivery person assigns to send a package with shipment details, the Customer’s address, route, location
- Packages need to scan the purpose of recording data
- Load the package into a vehicle that provides last-mile delivery service
- The package delivers to the right customer
- A delivery person keeping records of shipment updates details
How to optimize Last mile delivery?
- Use a centralized system for keeping records of data
- Collect and analyze data to improve business decisions and optimize the delivery process
- In the delivery, the process needs to automate technology
- Improve transparency throughout the supply chain
- Need to analyze delivery efficiency as real customer need
- Keeping flexible delivery services
- Use new technology for route planning and optimum utilization of routes
- Better training is given to customer handling persons to increase customer satisfaction and returning process or other responsiveness.
How to select the right last-mile delivery software for your e-business?
- Business type and size-Need to analyze your business type and size.
- Cost-When selecting software it must be an affordable cost to your company.
- Network Coverage-areas that you need to cover
- Reliability-software should reliable
- More payment options-cash for delivery, E-wallets, bank transfers, etc.
- Proof Of Delivery
- Customer Support-Customer requirements, higher responsiveness of customer, return of a shipment,
- Real-time information sharing through alerts, notifications, SMS, and email of the customer
What are the new trends in last-mile delivery in 2023?
- Fast processing of orders.
- Shipment traceability improving
- Using in-house delivery service for last mile
- Using new smart technology for last mile
- Use self-driven vehicles for delivery
- Use Robots for delivery service
- Drones in last-mile logistics
- Contactless Delivery service
- Establishing more urban warehouses
- Use hybrid Fleet systems
- Maintain micro warehouses
Common errors of the last-mile delivery operation
- Human errors
- Wrong labeling
- Wrong inventory count
- Misplaced items
- wrong items picking and sending
- number of items may be wrong compared to the customer’s required amount
- Incorrect stokes
- Delivery address wrong
- Items not received on time
- Damages during the delivery operation
- Poor route planning
- Errors in drivers’ side
How to prevent common mistakes in last-mile delivery operation
- Need to double-check information every shipment
- Offer more shipping options
- Choose a more reliable delivery service company
- Implement an automated warehouse system
- Implement a good returns process
- Use a bar code system or RFID system (Radio-Frequency Identification)
- Use last-mile delivery software
- Regular inventory checking and product location checks
- Use tracking system
Causes of error or bad delivery process in last mile operations
- Human errors in the goods receiving process in the warehouse-When handling thousands of goods in a warehouse it is most challenging to employees to employees at the warehouse.
- Not using an automated system for picking the products-Picking process recordings traditional paper base system may have been mistaken. To avoid that mistake you can use a label-based system with RFID systems or barcodes.
- Not having proper auditing or verification system in the warehouse.
- After the picking of goods auditor needs to record and confirm an order. When using the warehouse management system verify the selected SKU s and order descriptions.
- Without a proper process of auditing in the warehouse, there is a possibility of mixing up before reaching the distribution hub.
- Poor route planning and errors of drivers.
- Inaccurate mapping details and human errors of the drivers make the delivery delay or the wrong place of delivery.
How to enhance delivery accuracy
Pick, package, and deliver the right products at the right time
Why use last-mile delivery software for logistics operations?
- To enhance customer satisfaction.
- For smooth delivery operations
- Last-mile operation cost reduces
- Use resources at an optimum level
- Effective and efficient delivery operation
- Ultimately give a better customer experience of buying goods
- Additionally, customers are able to track their shipment with proof of delivery
- With the positive impact of customer satisfaction, repeat customers enhance the business
What is last-mile delivery software?
Last mile delivery operations are more complicated with more customers with more orders so need to arrange many routes while fast delivery with cost savings. Nowadays with the development of technology able to use software to overcome last-mile delivery challenges.
Key Features of last-mile delivery software
- Route planning
- Optimization of route
- Fast dispatching
- Powerful report making
What are the top last-mile delivery software solutions in 2023?
- G2 Deals
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