How Technology is Solving the Big Problem of the Shortest Transportation Leg
The last mile is the final leg of a product’s journey from a warehouse or distribution center to the customer’s doorstep. It is often the most costly, complex, and critical step in the retail supply chain. This is because it involves various factors, including traffic congestion, parking availability, and customer expectations.
Challenges of Last Mile Delivery:
There are several challenges that businesses face when it comes to last-mile delivery. These include:
- High costs: The last mile can account for up to 50% of the total shipping cost. This is due to the need for multiple deliveries and the cost of fuel and labor.
- Complexity: The last mile can involve various factors, such as traffic congestion, parking availability, and customer expectations.
- Customer expectations: Customers have high expectations for last-mile delivery. They want their orders to be delivered quickly, reliably, and conveniently.
Technology Solutions for Last Mile Delivery:
Several technology solutions can help businesses to improve their last-mile delivery operations. These include:
- Routing and scheduling software: This software can help businesses optimize their routes and schedules, saving them time and money.
- Real-time tracking: This technology allows businesses to track their deliveries in real-time, which can help them to improve their customer service.
- Drone delivery: This technology is still in its early stages but can potentially revolutionize last-mile delivery. Drones can deliver packages quickly and efficiently and can access areas difficult for traditional vehicles to reach.
The last mile is a critical part of the retail supply chain. Businesses that effectively manage their last-mile delivery operations will be well-positioned to succeed.
The original article is “Last Mile Delivery: How Technologies Solve the Big Problem of the Shortest Transportation Leg.“