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Freight and Logistics Solutions

Last Mile Logistics Strategy

As ecommerce continues to grow rapidly, having competitive advantage in the final leg of the supply chain is becoming the new differentiator. Developing the right B2B or B2C last-mile logistics strategy is paramount to maintaining operational control, high service levels, execution flexibility and sustainable customer satisfaction.

Developing a last-mile logistics strategy is not only deciding what type of vehicle or provider should be selected, it’s about designing a holistic strategy that supports the organisation’s broader direct-to-customer business model. It’s important to build a last-mile strategy that considers business specific customer trends and requirements, to facilitate better understanding of their needs and preferences.

When developing a last-mile logistics strategy it is important to link corporate objectives, identify required operational capabilities, define the optimal operating model and establish executional controls. Well defined last-mile logistics strategies allow organisations to build closer relationships with customers, shifting the experience from a from one-to-many, to one-to-one exchange. This increases the opportunity for additional revenue and business growth.

Our approach to developing tailored last-mile logistics strategies for our clients includes the combined use of best-in-class technology, our practitioner experience and data-driven analysis. Last-mile logistics strategies are enhanced when developed in conjunction with an ecommerce network fulfilment study – as the entire network is optimised to maintain the balance between service, cost and quality trade-offs.

Client Challenge

We have minimal visibility of our network and want to run an RFP to improve our processes.

The Situation:

  • Minimal visibility of transport task
  • Legacy arrangements in place with carriers
  • Prior benchmarking had identified opportunity across price and process improvement.

The Outcome:

  • Annualised benefit of 10 to 20%
  • Rationalisation of carriers with improved performance metrics.

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