In today’s world, last-mile logistics is becoming an increasingly common concept, even if most people don’t know the name. Last-mile logistics is the process of delivering goods from the provider’s distribution center to the end customer.
As e-commerce and omnichannel retailing continue to gain traction, last-mile logistics is becoming an integral part of the supply chain. Consumers’ demand for expedited and reliable delivery services is being met by providers through the implementation of unique solutions, like same-day delivery, click-and-collect, and predictive delivery.
The prevalence of tracking technology has established it as a fixture of modern life, permitting customers to trace their packages step by step. Consequently, last-mile logistics has become an unavoidable part of our daily routines and is likely to become even more pervasive in the years ahead.
Customers can easily access information regarding their package number and shipment status when last-mile logistics have high visibility. Questions such as when the order will ship and when it will arrive can also be easily answered.
- What is the current status of my package?
- When can I expect it to be delivered?
- Are there any factors causing a delay in the expected delivery date?
Customers now anticipate the same level of tracking for their purchases as provided for Amazon packages. This level of visibility has become widespread and is expected by consumers, however, it may not be available for all orders.
Obtaining comprehensive last-mile visibility can be a complex task for businesses, particularly when working with dispersed and outsourced logistics spanning from third-party logistics to fourth-party logistics.
A 2020 report revealed that over half of North American transportation and logistics firms deem last-mile delivery to be the least efficient process within their supply chains.
The complexity and expense of last-mile logistics often lead companies to enlist the aid of a 3PL. Working with a 3PL can bring numerous advantages, such as decreased overhead expenses and improved speed and efficiency in shipping, but there are also potential downsides that must be taken into consideration.
Integration is a frequent and vital concern in connection with 3PLs. A successful approach for improved visibility relies on integration between applications and information systems, yet it can be tricky to realize the required degree of transparency if each 3PL possesses its own system.
These systems may not be interoperable and may not be able to be connected. Additionally, whilst there may be a visibility solution in place, the technology may be too antiquated to provide real-time updates or information on conditions that could potentially impact product quality.
In some cases, you may even need to rely on a third-party logistics provider.
Ways to Enhance Last-Mile Delivery Systems
What integration points are there with your business? How are these connected to ensure the successful delivery of service to the end user, with automated alerts and notifications providing visibility throughout the process?
CargoTech’s digital consulting services can assist you in designing and deploying a variety of platforms and digital logistics solutions to fulfill your near- and long-term objectives. Get in touch with us today to begin your journey.