Poor delivery management can result in high costs. Companies that don’t have tight reins on their delivery systems can hemorrhage money and lose out on customer loyalty.
It seems that some businesses approach shipping as an out-of-sight, out-of-mind task, leaving shipping in the hands of their logistics providers. If they are expert hands, such as DCS solutions, your shipments are safe, but what happens when you are managing your own logistics?
Improving your understanding of delivery processes can help you avoid costly mistakes. So, let’s go through how to spot and sidestep those common last-mile delivery failures.
What is Last-Mile Delivery?
First of all, what exactly is last-mile delivery? This term refers to part of the shipping process, specifically the final stage. Once the item has been sent out from a company to the logistics provider, it will be passed on to a sorting hub. From the sorting hub, the item will then be arranged for shipment to the customer. This is the last-mile delivery stage.
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Common Last-Mile Delivery Failures
At this crucial stage, where an order makes its way to the front door of a customer, many things can go awry. From incorrect address details to a lack of tracking information, last-mile delivery can sometimes turn into the Bermuda Triangle of shipping stages. This leaves companies out of pocket and customers dissatisfied.
Inefficiently planned routes
With today’s technological advances, there is no reason why routes should be poorly planned. Companies and logistics providers no longer have to rely on manually plotting out routes for their deliveries. Delivery destinations can be analysed and arranged by route optimization software, creating highly efficient routes that don’t waste precious fuel and other resources.
Missing customer details
Gaps in addresses or incorrect details can create chaos. This can be down to the order forms being partly filled in, and therefore would be a fault on the company’s part. However, details can be lost during the shipping process, either due to data errors in the logistics software or illegible labels and barcodes.
No tracking information
Tempted to skimp on services and forgo tracking parcels? Don’t, it’s a false economy. By using tracking information, both the company and the customer can monitor the progress of a parcel, ensuring complete transparency throughout the shipping process. This acts as proof of delivery and offers peace of mind to the customer, who knows when to expect their order.
Failed delivery attempts
Infuriating for all parties involved, failed delivery attempts add to the workload of a logistics provider and leave the customer and company dissatisfied. The order remains incomplete. Often, this is a result of not offering delivery windows so that the customer can anticipate an order, and general poor communication.
Ignoring customer requests
Another factor that increases the incidence of failed delivery attempts is not listening to the customer’s preferences. Often, on order forms or included in communication with the shipping provider, there is space for a delivery note where a customer can suggest a safe place to leave a parcel. This is valuable information in case the customer fails to receive the order in person.
Poor peak time management
There are certain times of year when orders come in thick and fast. The holiday season is a primary example. Companies that fail to step up their logistics in the lead-up to these peak periods may be left with not enough labor or vehicles to handle such an influx of orders.
Zero backup plan
It’s not always possible to plan for every eventuality, but there needs to be a backup plan in case of commonly occurring disruptions. Bad weather conditions can slow down or stop deliveries, as can vehicle breakdowns. Having solutions to these problems could mean the difference between continuing as usual and incurring a loss in profits and customer loyalty.
No performance reviews
Regular reviews of delivery protocol and customer experience help to ensure that logistics are running smoothly. Failing to conduct performance reviews means that opportunities for growth and improvement can be missed, and mistakes may be repeated.
Smart Approaches to Avoid Last-Mile Delivery Failures
The key to avoiding last-mile delivery failures is to analyze what has gone wrong in the past and find ways to correct it. But this is not a one-time exercise. Data analyses and performance reviews should be continuously carried out to maintain the status quo and identify new opportunities to improve efficiency.
Turning to new technologies is one way to smarten up shipping management and limit human error. From optimizing delivery routes with AI to using real-time data to alert drivers, should obstacles like road traffic get in the way, technology can drastically reduce delivery failures or, at the very least, keep lines of communication open and customers satisfied.
When to Partner with a Last-Mile Specialist
If in-house order processing teams are under strain or your current logistics provider is committing common last-mile delivery sins, it’s time to get specialist help. Consider a logistics partner that offers complete transparency through up-to-date tracking, so that you can rest assured your deliveries don’t fall at the final hurdle.
Also, whichever provider you choose, ensure they offer 24/7 support so that if anything does go wrong, there is a point of contact to reassure both you and your customers. With the right specialist support, last-mile delivery issues should be a thing of the past.