What Is Last Mile Delivery and Why Is It Important?

Last mile delivery management (LMDM) is an essential part of last mile delivery operations. It involves the automation of the entire supply chain from supplier to manufacturer, from shipper to wholesaler, from warehouse to the location where the merchandise will physically be picked and packed, and from truck to customer.

last mile delivery

Importance of Last Mile Delivery

Increased Efficiency and Reduced Cost

The objective of LMDM is to increase the efficiency and decrease the cost of logistics. To achieve this goal, every step in the supply chain needs to be carefully tracked and evaluated to ensure that everything is moving according to plan. Traditional methods such as timecards, human verification and physical location of every logistics broker are being replaced by technologically advanced software. Last mile delivery management software offers companies a comprehensive solution to their supply chain problems.

It streamlines the entire shipping process

A shipment is assigned a shipment date and time, and all necessary shipping information is provided. Delivery status is also determined by the system, which can indicate whether the package is on track, on time or delayed. Depending on the required shipping route, the system can provide estimated arrival times for different areas of the delivery route. Moreover, the system can also provide critical information about the delivery, such as delays, routes, customs, fuel surcharges, climate and other variables.

With the help of this software, companies are able to quickly establish the root causes of delayed shipments and rework routes to improve performance and cut costs. LMDM is particularly important in instances when a company has to transport a large volume of a certain type of merchandise. If the company is not able to accurately identify the type of merchandise that it carries, it will be difficult to determine the most appropriate delivery method.

Determine the best and earliest possible shipping method

Last mile logistics delivery management software helps companies determine the best and earliest possible shipping method. For last mile delivery management, trucking brokers are using the internet to provide detailed and useful information on shipment route alternatives. Furthermore, they are making use of LMSs (loading and unloading information systems) to track delivery progress more efficiently.

An example of the application of logistics delivery planning in a real-world setting is found in the transportation of medical supplies. For decades, health care facilities have relied largely on last mile delivery systems to ensure adequate levels of emergency medication. However, in recent years, new technologies, such as LMSs, have made it easier for hospitals to identify the location of shipments of important medications to help prevent the possibility of critical medication shortage. Furthermore, with the aid of LMSs, logistics professionals can also establish an emergency supply chain to react to unexpected demand.

Last mile delivery systems also play a vital role in international trade. When a company wants to send a freight shipment to its final destination, there are many factors that need to be considered before the shipment is cleared for delivery. These factors include customs clearing requirements, the speed of delivery along with the route used, and the ultimate destination of the shipment. To make sure that all these factors are met, a logistics delivery planning system is used to first create a complete inventory of the goods to be shipped, which is then presented to the shipping company or freight company. Using this information, the company can determine how much of each item should be purchased and therefore avoid purchasing too much at one time.

Last Mile Delivery Tracking

As mentioned earlier, logistics delivery tracking is commonly used by companies that have to adhere to a last mile delivery system. For companies that are using a logistics delivery tracking system to determine their delivery times, they use the software to monitor both the truck driver’s route and the route followed by the goods. In addition, the system provides accurate information on the truck’s fuel consumption, as well as the number of stopovers required to complete the delivery. By using this information, the logistics manager can easily adjust the route to ensure that the shipment is delivered on time.

Last mile logistics companies use a wide variety of tracking systems to ensure that a shipment is delivered in the most efficient manner possible. A lot of the time, logistics companies choose to track the truck using GPS tracking technology. By using this type of logistics delivery tracking system, the company is able to accurately locate the truck, and determine its current location. Another popular method of delivery logistics tracking is RFID tagging, which uses a radio frequency identification tag similar to the tags that would be placed in food products.

The tag is attached to the truck, and the system will track when the truck leaves the docking station and whether the tag has been re-sized. This helps ensure that the correct amount of tax has been received and that the trucker will return to the docking station to unload the shipment.

Last mile logistics delivery tracking also uses a computer program called Electronic Point Of Sale (EPOS). This type of software helps to reduce the cost of providing services to the customer. The EPOS computer program includes inventory management systems, real-time inventory control, and order tracking. Many of these computer programs are used worldwide to decrease the cost of supplying services. Since the transportation of goods is one of the largest costs of operating a business, it makes sense to reduce costs associated with this service.