Have you ever starved badly as the delivery of food you ordered was delayed or poor-quality food delivered to your doorstep? Obviously Yes, but have you ever wondered who is at fault, the company, delivery boy or some other technical glitches? The root of all these problems is the fact that last mile delivery challenges could not have been met.
Last Mile Logistics refers to the procedure of moving the products from the edge of transit to the destination i.e. the customers. Using the term “last mile” symbolically the distance covered under it can generally lies between ten to hundred miles.
Major Challenges in Last Mile Logistics
- Delivery Speed: The pace of delivery is a major factor affecting customers satisfaction and preferences. Now a days, customers are even real to shell out extra penny to get speedy delivery as time is money.
- Delivery Environment: Limiting the delivery areas due to boundaries or other barriers can turn out to be one of the biggest drawbacks for any shipper company.
- Cost: According to studies, all the shippers spend 53% of total shipping cost in last mile logistics. Due to increased competition in e-commerce and free shipping pressures may lead to huge losses for the company.
Solutions to meet the Challenges
- Optimization of Route for Speedy Deliveries: In today’s world, Artificial Intelligence (AI) is taking over every market segment along with the shipping business. Along with suggesting the best possible routes to drivers it also analyses weather patterns, traffic, and road conditions. This ensures clear visibility of supply chain outline.
- Improved Connections with Vendors and Drivers: Hiring experienced and hardworking drivers always boosts the efficiency of delivery.
- Fixed Pickup Locations: Retailers lets the customers pickup their orders from a particular location like a retail store or outlet in case drivers failed to deliver products several times.
- Robots and Drones taking over: Technology is every evolving and as per the studies last mile delivery using drones and robots will boost by 85% by 2025.
Thus, now we can conclude that the shipper companies can face the last mile challenges through a logicstics management software. Shipox DMS provides one of the best software keeping themselves engaged in regular innovations.
