Logistics is changing!

Source: Supply Chain Digital

Date :09/07/2008 09:30:01

The growth of online retailing has increased demand for 3PL and delivery. But with this rise comes demands from consumers and businesses expecting far greater flexibility on delivery and collection times.

By Terran Churcher, MD,Codegate

Fuel prices seem to be ever increasing and with the planned introduction of further road tolls will add yet more margin pressure to logistics companies.

Imagine a logistics world that is dynamic.

Dynamic logistics is a solution that runs in real time on rugged mobile computers and Zebra’s mobile printers enabling printing on the fly allowing a business to deliver a ‘dynamic’ service offering.

Being dynamic is having the ability to react quickly, being able to think on your feet, being flexible and fluid and being able to take advantage of every opportunity.

With a Dynamic Logistics application, logistics and courier companies can:

• Manage short or incorrect deliveries

• Automatically re-schedule failed deliveries

• Take unplanned collections at the same time as deliveries

• Promote and sell additional items on the point of delivery

• Eliminate incorrectly labelled collections

• Optimise the performance of their fleet & minimise fuel consumption

• Get real time PODs

Competitive advantage

Errors made by picking staff can result in too few or too many items being delivered to a customer and incorrect labelling can end up with parcels being delivered to the wrong location entirely.

With DL errors such as these can be brought to the attention of the customer service team instantly. With a DL solution running on a mobile computer or PDA, the driver can alert the customer services team of an error with a delivery at the touch of a button enabling them to take the necessary action, quickly and efficiently. Packages can then be re-labelled on the spot for rapid processing when they are returned to the depot.

Failed deliveries

Failed deliveries are frustrating for the driver and frustrating for the customer – and they take up valuable customer services time. With a DL solution the driver can automatically update the customer services system by ticking a box in the application and can even take a photograph of the front door to prove they went to the correct address. The application will automatically allocate the correct time eliminating accusations from customers claiming there was someone to receive the delivery and also helping to show which drivers are most often late for deliveries.

A new delivery time can be automatically allocated in the DL application and the driver can print out a re-delivery slip to post through the customer’s letterbox – eliminating the need for illegible handwriting or errors. If required, the mobile printer can also be used to print out the appropriate re-routing label to speed up the processing of the parcel when it is returned to the depot.

Unplanned collections

Imagine how much time and money a business could save and how much it could reduce its carbon footprint if drivers picked up returns or exchanges at the same time as making a delivery. For customers that order regularly this could prove to be quite a cost saver.

With DL the driver simply needs to accept the return, entering the pre-approved collection number already provided to the customer by the customer services team, either over the phone or online. The collection is notified to the depot and customer services in real time via the mobile computer and a correctly printed and the barcoded label is printed out on the spot and applied to the parcel, ensuring it is handled as quickly as possible on return to the depot. A second label is printed out for the customer to keep as proof of collection.

Labelling

DL can make illegible or incorrectly completed labels a thing of the past. Poorly printed or handwritten labels can grind the receiving bay to a halt and take up hours of time having to be manually processed. With DL a business can ensure all of its collections carry the right label by printing the correct barcoded label at the point of collection – ensuring the labels can be scanned first time, every time.

It is now possible to make fleets more efficient by routing collections and deliveries together which can help to minimise an organisation’s carbon footprint. With DL running on a handheld device the driver is automatically routed to the next collection or delivery point via SatNav and then prompted with either the collection or delivery screen in the application when he arrives.

Fleets and schedules are optimised by using the closest drivers to cover both collections and deliveries, saving time and money in increased efficiencies and reducing fuel and road toll charges.

Get real time PODs

DL enables real time signature capture directly onto the screen of the handheld device whilst on the doorstep and transmits it back in real time for live tracking on-line by the customer. Businesses can reduce the burden on their customer services team who spend time locating and providing proof of deliveries to customers by enabling them to see exactly when each delivery has been made by themselves.

DL also allows businesses to gain competitive advantage by being one of the first to adopt this innovative technology. Businesses can also improve their customer service levels by offering a dynamic collection and delivery service providing a key differentiator that will make a real difference to the service provided to the end customer.

This can be just as important for a 3PL looking to win new business from its competitors.

Point of delivery

With DL it is possible to further optimise van sales by running additional promotions, either carried in the vehicle for immediate supply or triggered via the software running on the mobile device for later delivery, securing valuable additional sales at the point of delivery. By simply adding the order directly into the intuitive application on the rugged handheld, the order can be immediately processed, details sent back via GPRS to the back office for invoicing and a receipt can be printed on the spot for the customer.

Van Sales can also dynamically exchange out of date or faulty goods directly from van stock, or schedule next day replacement on behalf of the customer. Suppliers of Sale or Return goods can benefit from capitalising on seasonal or local demand fluctuation by dynamically altering the supply pattern to suit, on the spot.

Automotive parts or building materials suppliers can increase sales through maximising the ‘supply on demand’ needs of both opportunistic and scheduled patterns incorporating ‘just-in-time’ buying principles previously only available in manufacturing.

On-site, real time communications between the remote worker and the central ERP system provides corporate wide stock/parts or materials availability coupled with immediate accountability through remote order confirmation, invoicing or receipt printing.