Last Mile has turned into a household term, reaching well beyond the supply chain community.
Due to the pandemic, the “Amazon effect” has drastically increased customer expectations for their e-commerce goods.
The final leg of a product's journey from the warehouse to the customer's doorstep is notoriously the most challenging, costly and time-consuming part of the whole supply chain.
However, many of the issues traditionally classified as "last mile problems" may actually stem from upstream in the supply chain.
This can directly affect stores in the way of lower customer satisfaction, especially when it comes to late or missed deliveries. If stores do not handle the customer experience well, their customer satisfaction scores can suffer.
Additionally, we saw lack of loyalty stem from product shortages during the pandemic. This can continue to hit stores with lack of last mile options or delayed deliveries.
The Last Mile Is Not Where Your Problems Start
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Explore the issues impacting your Last Mile delivery experience and learn how to fix them.
The Last Mile
Upstream Issues
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The Last Mile
Upstream Issues
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Retail App
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Inventory Management
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Inventory Management
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The Impact of Upstream Supply Chain Issues on Last Mile Delivery
Communication Breakdowns
Communication Breakdowns
Route Optimization
Route Optimization
Poor inventory management can lead to stockouts, overstocking, or inaccurate inventory levels.
In many cases, retailers can receive a large order, but won’t have enough product available in the nearest distirbution center.
This especially occurs with retailers that don’t have SKU or PO level visibility. This lead to delays and product unavailability and in turn, cause inconvenience and frustration for customers.
Poor communication between suppliers, manufacturers, distributors, and logistics providers can result in missed or delayed deliveries.
Poor communication with procurement and suppliers can mean incomplete orders.
These types of miscommunication about delivery dates, times, or even product can lead to confusion and frustration for customers.
Inefficient routing can lead to increased transportation costs, fines and fees or longer delivery times. All of which can negatively affect customer satisfaction.
Retailers commonly use modes like ocean freight, which can be timely but a good way to transport your products from international manufacturers to the US for distribution.
By looking at historical performance and optimizing delivery routes, retailers can help reduce transportation costs and ensure timely deliveries.
The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
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Poor communication between suppliers, manufacturers, distributors, and logistics providers can result in missed or delayed deliveries.
Poor communication with procurement and suppliers can mean incomplete orders.
These types of miscommunication about delivery dates, times, or even product can lead to confusion and frustration for customers.
Inefficient routing can lead to increased transportation costs, fines and fees or longer delivery times. All of which can negatively affect customer satisfaction.
Retailers commonly use modes like ocean freight, which can be timely but a good way to transport your products from international manufacturers to the US for distribution.
By looking at historical performance and optimizing delivery routes, retailers can help reduce transportation costs and ensure timely deliveries.
The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
More Resources
Get a Demo
01
By pairing an advanced supply chain visibility solution with your inventory management, retailers can improve their supply and demand planning down to the PO and SKU level. Not only will the retailers be able to know when product availability is low, but can plan better when fluctuations in order volumes occur.
Best Practices for Managing Last Mile Delivery Challenges
Managing last-mile delivery challenges requires a comprehensive approach that leverages supply chain visibility tools and best practices, including these 4 critical components:
Improved Supply and Demand Planning
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Proactive Alerts
Finding out about delays to your last mile deliveries after the disruption occurs isn't helpful. With proactive alerting, key stakeholders can ensure action to exceptions as they occur and share updates with their suppliers, distributors or even procurement to mitigate any miscommunication upstream and prevent unhappy end customers.
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Network and Route Optimization
For retailers, having blind spots in the shipment journey from warehouse to the last mile can lead to delays and unhappy customers. Supply chain visibility solutions can allow these same retailers to look at their entire network and the historical performance in order to optimize their routes to minimize transportation costs and other disruptions.
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End-to-End Visibility
Port-to-Port tracking is not enough for today's retail supply chains. Retailers need visibility solutions that provide real-time insights, down to the PO and SKU level. Empower your customer service and transportation teams with the ability to see shipments from port all the way to your customer's door – in a single platform. Plus, with deeper insights like delivery status, inventory issues and advanced transport analytics you can prevent issues as they occur.
The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
More Resources
Get a Demo
The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
More Resources
Get a Demo
Retailers are going through digital transformation, especially when it comes to their customer expectations and experience.
There are many ways that companies can leverage technology, such as AI and IoT, to improve the delivery process and enhance customer satisfaction.
Explore some tech that you can start leveraging:
Real-Time Tracking
Companies can use advanced supply chain visibility tools to optimize their supply chain. These tools go beyond IoT-enabled devices to provide real-time updates on the status and location of deliveries. This allows customers to not only track their orders in real-time, but also provides actionable insights throughout the end-to-end journey.
FourKites uses AI/Machine Learning to analyze various data sources for enhanced insights. For example, with Predictive ETAs we analyze weather forecasts and traffic pattern data to help predict delays and adjust delivery timelines. This helps you to prevent missed deliveries, labor efficiency, and ensures that your teams stay on the same page.
Predictive Analytics
Companies can use AI-powered chatbots or virtual assistants to provide customer support and answer common questions about delivery status or product information. This enhances the customer experience by providing quick and easy access to information.
Chatbots & Virtual Assistants
IoT-enabled smart lockers can provide customers with a secure and convenient way to pick up their deliveries at a time and location that is convenient for them. This helps reduce the risk of missed deliveries and increases customer satisfaction.
Smart Lockers
Digitizing The Last Mile
The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
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The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
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FourKites Retail Manager App provides users with real-time shipment tracking and predicted ETAs via their mobile devices.
With the data at their finger tips, they can spend more time on value-add tasks and helping customers instead of searching for late shipments or wasting time at the dock door.
FourKites’ solution also enables direct messaging with the driver, keeps a record of all past deliveries and provides ETAs for the next day’s shipments.
An App Tailored to Serve Retailers
Learn More on FourKites.com
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The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
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The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
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Learn More About Last Mile
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How to Turn a Complex Retail Supply Chain Into a Competitive Advantage
READ
Are Your Last Mile Problems Really Last Mile Problems?
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The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
More Resources
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The Last Mile
Upstream Issues
Best Practices
New Technologies
Retail App
More Resources
Get a Demo