Capillary Transportation: What It Is, Its Characteristics, and Importance in Logistics

The concept of capillary transportation is crucial in modern logistics, especially in last-mile delivery. This type of transportation refers to the distribution of goods in densely populated urban areas, where vehicles must navigate narrow streets or difficult-to-access zones. Its name comes from its resemblance to blood capillaries, which distribute blood to every part of the body, much like capillary transportation delivers products to the final consumer.

Characteristics of Capillary Transportation

1. Short and frequent distances: This type of transportation takes place in urban areas, involving shorter routes but more frequent stops.

2. Small and agile vehicles: Vehicles are usually smaller, such as vans or even cargo bikes, adapted to maneuver in areas with space limitations or access restrictions.

3. High delivery density: Due to the nature of urban areas, capillary transportation typically involves a high volume of deliveries concentrated in short distances, requiring precise planning.

4. Advanced technology: To handle the complexity, route optimization technology like that offered by Routal is used, reducing delivery times, operating costs, and carbon emissions.

Importance of Capillary Transportation in Logistics

Capillary transportation is essential to ensure that products reach the final consumer quickly and efficiently. In a world where demand for immediate deliveries is increasing, optimizing this phase of the logistics chain is critical for:

• Improving customer experience: Fast and punctual deliveries directly influence customer satisfaction, potentially translating into brand loyalty.

• Reducing operational costs: Effective capillary transportation management maximizes route efficiency, lowering fuel and labor costs.

• Minimizing environmental impact: By optimizing routes and using smaller, more eco-friendly vehicles, companies can reduce their carbon footprint, which is increasingly important for those striving to be more sustainable.

Conclusion

Capillary transportation is a key element of modern logistics, especially in the e-commerce era. Companies that optimize this final stage of distribution not only save costs but also significantly improve customer experience. Solutions like Routal make this optimization easier through advanced technology tailored to the challenges of urban areas.

This image illustrates an example of capillary transportation in an urban setting, highlighting the importance of precision in last-mile logistics.

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In the world of modern logistics, digital transformation is revolutionizing many of the processes that were previously manual and cumbersome. One of the most important advances in this regard is the appearance of the digital packing slip, a tool that simplifies and optimizes the merchandise delivery process. But what exactly is a digital packing slip and why is it so relevant to logistics companies? In this article, we'll explore in detail what a digital packing slip is, its advantages, and how it integrates with advanced features such as route tracking and proof of delivery offered by Routal.

What is a digital packing slip?

Un digital packing slip It is the electronic version of the traditional paper delivery note, which acts as a delivery document for merchandise. Like its physical counterpart, the digital packing slip contains details about the shipment, such as the description of the products delivered, the quantities, the recipient and the date of delivery. However, unlike the paper bill, the digital one is managed and stored electronically, making it easier to access and manage.

The digital packing slip may include delivery tests such as the recipient's signature directly on the delivery person's device, photos that confirm receipt of the package, or even QR codes that instantly validate the transaction. All this makes the process more transparent and efficient, both for the logistics company and for customers.

Advantages of the digital packing slip for the logistics company

The implementation of a digital packing slip provides numerous advantages for logistics companies, especially when integrated with systems of route tracking and proof of delivery. Here are some of the key benefits:

1. Reduction of administrative errors

One of the most common problems with paper packing slips is the risk of making errors during manual data entry. Whether it's the difficulty of reading handwriting or the loss of documents, human error can lead to confusion, delays, and additional costs. With the digital packing slip, data is recorded electronically, minimizing errors and ensuring that the information is clear and accurate.

2. Operational Efficiency

The use of digital packing slips up the delivery process. Drivers no longer have to carry around paper documents or take the time to file them manually. Instead, all the information needed for delivery is found on their mobile devices, such as tablets or smartphones, connected to the company's system. Not only does this streamline deliveries, but it also facilitates instant access to information, improving operational efficiency at every step.

3. Real-time tracking

One of the great benefits of digital systems is the ability to perform Real-time tracking of routes and deliveries. When a digital packing slip is used, the information is updated instantly, allowing both the company and the customer to know precisely where the order is located at all times. This type of monitoring is essential in the current context, where transparency and customer satisfaction are key differentiating factors.

Routal, for example, offers a solution for route tracking and proof of delivery which allows logistics operators to monitor each delivery in real time, ensuring that shipments are made as scheduled and allowing a quick response to any unforeseen event. In addition, customers can also access this information, significantly improving the user experience.

4. Improved delivery test

An essential aspect of the digital packing slip is the ability to obtain proof of delivery quickly and accurately. Traditional proof of delivery, such as paper signatures, can be ineffective or even falsifiable. However, with the digital packing slip, proof of delivery can be completed more reliably. Some of the forms of testing include:

• Digital signature: The recipient can sign directly on the delivery person's device.
• Geolocated photos: The delivery person can take photos of the package at the time of delivery, ensuring that it arrived at the right place.
• Geolocation: The exact location of the deliverer during delivery is recorded, providing an additional layer of security and precision.

With Routal, this proof of delivery is managed in a fully integrated manner. The signatures, photos and the geolocation of the delivery are stored on the platform, allowing for a detailed history of each operation. Not only does this protect the company in the event of disputes, but it also provides a safer and more transparent customer experience.

5. Reduction of paper use and associated costs

The use of paper packing slips involves additional costs, such as the purchase of material, printing, storage and management of physical documents. In addition, storing large quantities of paper can be inefficient and prone to loss or deterioration. By digitizing these documents, companies not only save money, but they also contribute to reducing environmental impact, moving towards more sustainable operations.

6. Integration with logistics management systems

The digital packing slip does not work in isolation, but it can be perfectly integrated with other logistics management systems. This allows for full automation of processes, from route planning to delivery confirmation. For example, solutions such as those offered by Routal allow logistics companies to plan delivery routes optimally, monitor drivers' progress and automatically receive proof of delivery in real time.

In addition, the data collected from digital packing slips can be analyzed to identify trends, bottlenecks or areas for improvement in company operations, which can lead to continuous optimization of the logistics process.

7. Improved customer satisfaction

Finally, one of the biggest advantages of implementing digital packing slips is the improvement in customer satisfaction. Thanks to real-time tracking, transparency in the delivery process and reliable proof of delivery, customers have a much more positive experience. They know exactly when their order will arrive, they can follow it in real time and they are sure that they will receive clear proof that their merchandise has been delivered correctly.

Success Story: Quaker State

A prominent example of how the digital packing slip can completely transform logistics operations is the success story of Quaker State, one of the leading brands in the automotive lubricant industry. Quaker State adopted a system of digital packing slips and the complete digitalization of their delivery process, which allowed them not only to improve the efficiency of their logistics chain, but also to significantly reduce the time between the delivery of the material and the collection of the material.

Before implementing the digital packing slip, Quaker State's delivery process relied heavily on paper documents and manual systems, leading to delays, loss of documents, and billing errors. After digitizing the process with tools such as route tracking and proof of delivery, Quaker State was able to drastically reduce these problems.

The most shocking result was the savings of more than 2 million dollars in operating costs. The speed with which deliveries were processed and proof of delivery validated allowed the time between receipt of products and payment to be reduced from weeks to just a few days. This improvement not only optimized the company's cash flow, but it also improved relationships with its customers, who valued transparency and speed in the delivery process.

Conclusion

The digital packing slip is an essential tool for logistics companies looking to improve their efficiency, reduce costs and offer a better experience to their customers. By combining this technology with advanced systems of route tracking and proof of delivery, such as those offered by Routal, companies can optimize their operations, minimize errors and ensure customer satisfaction.

The success story of Quaker State is tangible proof of the benefits of digitizing delivery processes. The implementation of digital packing slips can not only lead to great savings in operating costs, but it can also accelerate the revenue cycle, improving the competitiveness and efficiency of any logistics company.

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Last-mile logistics is a business of cents and seconds, every cent counts, every second matters. Making your deliveryman's life more agile, simple and efficient will have a bigger impact than you may be aware of.

Surely you are looking for an app, and just thinking that you will have to explain to all the delivery people how to install it, if it will work on their phones, especially that of external distributors that change every day, among many other problems... you will think that paper is not such a bad solution.

Perhaps there are alternatives other than an app that requires installation, which will be even faster and more convenient than handing over a paper. We are going to see the big differences between a native app, a webapp and finally paper.

In any change, it is important to identify the main aspects that will mark the success of the change. When adopting a digital solution for delivery people, it is important to reflect on 3 aspects:

• Installing the tool
• The training of the tool
• The adoption of the tool.

Installing the tool

Before deciding on a tool, it is important to thoroughly study the installation process of the chosen tool. A native app will require knowledge on the part of the user when installing apps. Browse the different app stores, until you find the right one. Finally, share with the user their credentials (username and password) in order to access their account. This process must be repeated with all the delivery people, and you will probably have a high turnover, so it will be a process that must be done on a regular basis.

The Routal webapp allows you to speed up this entire process with simple access to a link sent by email, WhatsApp or any other means. It is a very simple and convenient system, especially in companies that work with outsourced services for their operations and these can change daily.

In addition, one of the risks of native apps is support for different models. There are more than 24,000 different models on the market and it's virtually impossible to support all of them. On the contrary, a webapp like Routal's is based on standard HTML code supported by all devices in their native browser. There's nothing worse than hearing a delivery guy say, it doesn't work on my cell phone.

Formation

Training is a key step in using any tool. In general, all mobility tools are usually easy to use by field workers, delivery people, or any employee.

In this video you can see how simple the Routal application is. It doesn't take our customers more than 3 minutes to teach their delivery people how it works.

Adoption

Adopting tools is the most difficult task in any company. Changing the status quo (the company's usual way of working) can be a big challenge. To be successful in this type of project, there is a secret: Generate more convenience to users with the new process.

The application must save time, be simpler than the current solution and, above all, it must make life easier for the worker.

For example, in the Routal webapp, you have a button for direct access to Google Maps or Waze that will fill in the address and guide the delivery person to the delivery point in a single click. Saving a few seconds of copying the address, with the possible errors you may make.

One of the tasks that delivery people do the most is answering the phone. Making calls to customers, receiving calls from their manager to know the status of deliveries, and a long time. Saving 30 seconds by copying a customer's phone number may seem insignificant, but if that task is repeated dozens of times throughout the day, we may be talking about savings of more than 20-30 minutes. Time that can be spent making more deliveries, or avoiding an accident.

Another advantage of digitalization is the ability to share information in real time asynchronously. For example, the status of the deliveries, or the photographs themselves, allow customers and managers to be aware of the status of their delivery and everything that happened at the time they need it. Without bothering, or having to wait. Real-time information, better decisions and more convenient service.

In conclusion, a simple tool that improves the performance of delivery people and is more convenient than the current solution are the keys to achieving the success of a delivery monitoring project.

I encourage you to try our solution Routal Planner route optimization, delivery monitoring through a webapp and real-time communication with your customer.

Tomorrow starts the SIL, the international logistics fair in Barcelona. Not only are there exhibitors at the fair (A142), but it is also the place where the entire sector meets and talks about its future. One of these talks will talk about “Technology vs. People, in search of Purpose”. The purpose is something that many companies are not clear about. Their daily lives have them absorbed and they are unable to lift their heads, think and say: Why am I doing this?

In my opinion, there is no dichotomy between technology and people. It's people and technology. One without the other, it doesn't make sense. This is the difficult strategic decision and change of mindset that many companies have not yet taken in this sector. The logistics sector is no longer a sector where only the physical and people are what are important. Technology and data are just as relevant as people (and surely they will be more so every day).

Our purpose as Routal is clear (and we try to share it at all times): “Move the world smarter”. To achieve this purpose, technology is key, it is the tool that allows our customers to achieve maximum efficiency with minimum complexity. Our humanism consists of providing constant support and accompanying throughout the journey that will profoundly transform the company.

To achieve this purpose, we had to work on the pillars of the company. In the company's ethics, values and humanism. During this introspective study, you realize that people who have trusted you naturally share the same values, ethics and humanism.

Some examples such as Ametller Origen, the food retailer Where its first principle is sustainable growth and a commitment to reducing the impact of activity on the environment. The use of Routal saves them more than 30% of kilometers traveled, fuel and emissions, among other benefits aligned with their values.

Another example is Quaker State, the leading lubricant company in Mexico. Your question is How can a lubricant company last more than 100 years in the industry? Maintaining their values: Honesty, Responsibility and Commitment. Sharing a clear mission for all its customers: To deliver their products with the highest quality standards, using cutting-edge technology, without forgetting their commitment to social welfare, exceeding the expectations of their customers and society.

Quaker saves more than $2 million a year by automating its route planning processes. The integration with their SAP ERP allows them to automate all their billing processes. Monitoring their delivery people and communicating with their customers allows them to share the estimated time of arrival precisely, so that their customers (auto repair shops) can optimize the repair of their customers' cars.

Finally, all this work is condensed into our manifesto.

Move the World Smarter

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Temperature-controlled logistics is an added challenge to the already complicated distribution of goods. The great challenge is to maintain a controlled, stable and safe temperature throughout the journey from the factory to the final consumer of that merchandise.

As logisticians, we must ensure the safety that this product has not been damaged due to an inadequate temperature, since surely.

There are many products that need temperature, from perishable foods such as foods (fruit, vegetables, or any type of fresh food), medicines, or even precision parts whose temperature could change their shape, to give common and not so common examples. Likewise, we can find different temperature levels:

• Without temperature: 15º-40º
• Controlled temperature:
  • Refrigerated: 0ºC → 8ºC
  • Frozen: 0ºC → -20ºC
  • Ultra frozen: Below -40ºC

Products that require controlled temperature are transported by vehicles specially designed to maintain the temperature inside. For this purpose, they are equipped with powerful cooling systems. Some in the form of an autonomous system with their own diesel engines, others connected to the vehicle that provides the energy, or even some are powered by passive cold (incorporating ice loads that preserve the cold).

What challenges do controlling cold in the supply chain entail?

Fuel consumption

Refrigerated vehicles consume much higher than conventional vehicles. Refrigeration is a process that consumes a large amount of energy, and that translates into liters of diesel. The greater the temperature difference between the inside of the truck and the outside, the more work the cooling system must do, consuming more in summer.

Therefore, the products must be in the truck for as little time as possible. Efficient logistics management will try to minimize that time in loading.

Another action that has a great impact on consumption is the opening of doors. Every time a refrigerated truck opens its doors, outside heat penetrates the truck, increasing consumption. The solution is to minimize the opening of doors, and above all, to minimize the time they remain open. Good planning that allows the load to be ordered so that the unloading time is the minimum, will reduce opening time, reducing consumption.

Systems of route optimization that allow efficient route planning, reducing travel time and efficiently organizing vehicle loading are key to reducing consumption, costs and improving service.

Cold chain management and safety

Ensuring that the merchandise has not undergone heating and refreezing is critical. Many goods could be damaged, even becoming dangerous for human consumption. Examples such as fruit, which at high temperatures due to its high sugar content can cause the colonization of bacteria that damage the product, or pharmaceutical material such as vaccines or antibiotics whose effectiveness is reduced due to high temperatures.

Active monitoring of products and/or their transport is key to ensuring that products are transported with guarantees. Dataloggers and all kinds of temperature control probes are key tools for this type of logistics.

Conclusions

The cold logistics chain has a large number of challenges to face. We have dealt with some examples with the main challenges such as logistics optimization to reduce consumption or temperature monitoring to ensure the cold chain at all times. These are some of the main challenges in a key sector for many industries.

At Routal, we help all types of refrigerated transport companies to optimize their distribution, save time and fuel in just 24 hours. Try it here.

We can summarize 2022 in three words, a great year. In a sector where every second and every cent counts, and where if you don't measure it you can't improve, numbers come first: We have doubled our turnover again, we are now close to half a million euros. Thanks to our more than 250 customers who trust their processes every day to our route optimization tool. Without your trust and without your demand to make a better product, we wouldn't be here. But we still have a long way to go together. And to add to many more.

Our mission:

“Provide affordable tools that improve the experience and efficiency of logistics processes for any company.”

It's always good to check if we're on the right track and I think that our mission is more current than ever. As a good logistician named Bezos said, “Work based on something that won't change in the next 10 years.”

The experience of most companies that operate in the last mile can be improved. From the internal decision-making processes, to the planning itself, management with the distribution or the end customer experience can be improved. Highly upgradable. That's why we're here and our customers share the same mission. Improve every day, be more efficient and provide a more convenient service.

The economy is at a time of maximum uncertainty, and that causes logistics to suffer. We live in an interconnected chain where if someone in China sneezes, we feel it in Barcelona, Lima and Reykjavik. Last-mile logistics, as the last link in the chain, also notices this. What to do? Adapt, be more efficient and flexible. There's no other one left.

Logisticians know a lot about adapting to unexpected changes, it's in our DNA. To adapt, you need to evolve, improve your processes and that's where companies find us. We are with them to make this transition as fast as possible (Congratulations Prio Energy for deploying in 24 hours 👏🏻) and simple (Cabify Logistics has assured us that they have tried all the platforms and none as easy to use as Routal).

Our present is to continue the great work we have been doing for the last 3 years. Better products, easier to use and more powerful. This is why we have released a new version. More intuitive, faster and more collaborative. With one goal: To make your life easier, more flexible and efficient.

We believe in our way of working, we know what is different from the rest, and we understand that if we want to be the reference we cannot set our sights on today or tomorrow, but rather think about the coming years and working from now on. For this reason, we invest a lot of efforts in improving product, value and customer communication processes. We still have a lot to do.

The future will bring us better products, solutions that improve the experience and efficiency of logistics processes. That is our mission and we work every day to get closer. All our work is based on some principles (and our clients share them):

• Continuous improvement: Nothing is perfect, everything can be improved and anyone (including customers) can propose improvements
• Transparency: We are transparent (we publish any incident with the service openly), we all make mistakes, but we assume our responsibility.
• Listen to customers: Understand the needs of each customer, improve the product for everyone and have the courage to say no, for now.
• Persistence: It's hard for things to work out the first time, we can't give up, so we have to keep fighting

2023 will be an even bigger year.

La expectation of a customer versus a service is based on their previous experience and the promise they made to them at the time of purchase. Managing that previous (not necessarily good) experience with the promise of service will mark the success of the service.

Trust is based on complying with the agreement we make with our client. For example, Koiki and its sustainable commitment. Building a trusted service can take years of hard work. Losing that trust, on the other hand, can only mean a bad response from one of our collaborators.

In the world of last mile deliveries, customer expectations are based primarily on these 4 points:

1. Delivery time: Customers usually expect their order to be delivered within the agreed time frame. If the order is not delivered in the expected time, the customer may be frustrated.
2. Product status: Customers expect the product to be in good condition upon delivery. If the product is damaged or in poor condition, the customer may feel dissatisfied.
3. Deliveryman's treatment: Customers expect friendly and professional treatment from the delivery person. If the delivery person is rude or unfriendly, the customer may feel upset.
4. Ease of tracking: Customers often expect to be able to track the progress of their order and know their location at all times. If there isn't an easy way to do this, the customer may feel worried or uncomfortable.

Expectation: “Delivery in a timely manner”

For every logistician, that's the goal. Deliver at the agreed time (not earlier and certainly not later) and in the right way. The forms, in many cases, are almost more important. They mean the image of the brand, the relationship with the customer, the condition of the product that you have taken care of throughout the trip. Details, which may seem insignificant, although in many cases they make a difference, and on many occasions the customer is willing to pay for it.

The problem is when the expectation is not met, it can generate frustration in the individual. Frustration is a negative emotion that occurs when a goal is not achieved or when obstacles are found to achieve it. Putting ourselves in the shoes of our customer can help us identify areas for improvement in our service.

Some potential causes of customer frustration include:

1. Lack of control: When someone has no control over the outcome of a situation, they may feel frustrated. For example, if a customer expects their order to be delivered within a certain time frame and it doesn't arrive on time, they may be frustrated that they don't have control over the delivery process.
2. Lack of information: A lack of information or clarity in instructions can lead to frustration. For example, if a customer doesn't know when their order will arrive or how to track the progress of their delivery, they may be frustrated.
3. Lack of support: When someone doesn't receive the necessary support to achieve a goal, they may feel frustrated. For example, if a customer expects to receive care and help from the delivery person and doesn't receive it, they may be frustrated.

For this reason, it is essential to have tools that allow us to properly manage customer expectations. Having control over operations at all times allows us to know if service commitments with the customer are being met. Sharing this information with the customer allows the customer to adapt to a problem. There's no worse feeling than waiting for someone without knowing when they'll arrive. It can be 5 minutes, or 5 hours. This ignorance generates anxiety and in a hyperconnected society it generates a poor customer experience.

If you feel that your operations can improve and that your customers often have the perception that the service they receive is not very good, and you are willing to lead the change in your organization, we recommend that you try Routal Planner. This tool helps companies like yours to offer a more convenient service, save time and logistics costs while empowering customers with information. ¡Take a look here and see for yourself!

All that's left is Christmas. Breathe, there's less left. We all have the same feeling, a terrible storm has taken hold of our email, TV and shop windows. With a single motto: Black Friday.

The feeling that everyone has of is one of exhaustion, tiredness and deception. Everything related to Black Friday is predictable, irrational and in some cases generates unethical behavior. From the famous pushes in American department stores, to raising prices the days before.

This negative perception is taking hold of all consumers. I'm not saying that, but different studies that try to analyze the perception of this day and arrive at the same coincidence, people are tired. Consumer Emotions on Black Friday: Antecedents and Consequence, Are Black Friday deals worth it? Mining Twitter Users' Sentiment and Behavior Response.

We all know that to sell in the B2C world, the best strategy is to attack the reptilian brain. Moving the customer to make irrational decisions, the urgency, a reduced time and a price that will never be repeated, will make you lose THE opportunity to buy what you wanted so much. With all this push, it's obvious that people can't do anything other than go crazy with their credit card.

A second after the purchase is the moment when you realize that you probably didn't need it (nor could you afford it). The offer wasn't as good as you thought and on top of that you'll have to suppress your desire to party due to lack of funds. You feel used by marketing departments and you start to distrust.

The following year, you look months in advance at the price of what you really wanted to buy (waiting for the big day) to make sure you're not being fooled, and you end up delaying the purchase you would have made months before. When the big day comes and after 3 failed delivery attempts by the courier, you end up thinking about the environmental impact of your purchase. You are not alone. Brands are also evolving.

One of the demonstrations that Black Friday is at a time of exhaustion is Google Trends. We can see a clear setback in the Number of Google searches of the term Black Friday.

We have overcome the peak, and we are going down in what can be sensed as a tendency to flatten the curve. It probably won't go away, but it shows clear signs of exhaustion. Like any acquisition channel, the beginnings tend to be explosive, at a point where it becomes mainstream, and from there performance declines rapidly to a point of exhaustion. Tap Find New Things. Innovate in new strategies.

How are brands attacking this Black Friday exhaustion problem? Green Friday

With new proposals such as Green Friday. Turn around an exhausted concept and associate positive values with the brand. A clear trend in all ecommerce is sustainability. At the last ICIL Debates event in Barcelona, important brands such as Mango or Desigual publicly demonstrated their commitment to sustainability throughout the chain. From sustainable manufacturing to transport with the lowest possible CO2 footprint. Eliminating the plane as much as possible from its logistics, as a practical example of its actions.

A pending issue is the sustainable last mile delivery. Companies such as Beeasy or Geever they deliver the last mile by scooter or on foot with a delivery network that allows last-yard capillary delivery with 0 emissions. These are alternatives that will grow more and more strongly in cities.

For heavier products, or greater geographical dispersion (less dense areas), it will be essential to use electric vehicles. One of the biggest brakes is the operational management of this type of vehicle. They don't behave the same way and the fear of”Stay strung out” is a brake on their transition. Technology such as Routal allows plan routes and make sure you don't run out of battery increasing vehicle productivity by more than 30% and facilitating the management of this new way of distributing.

Without a doubt, this transition will not be easy. But if we can turn a date as relevant to commerce as Black Friday into Green Friday, we will help generate that momentum that the sector needs to make the transition to last-mile logistics more sustainable. It's for the good of all.

Los KPIs (KKey Performance Indicators) as their name says, are numerical performance indicators that allow us to identify possible positive or negative developments in our operations in order to measure and compare them. It also allows us to act accordingly to improve performance, creating planning and process optimization strategies.

In the case of the logistics sector, these indicators help to have knowledge of the company's processes and operations in order to work on the continuous improvement of the entire logistics chain, from warehousing to distribution.

These indicators help to make decisions about processes and to be clear about how the company's operations are working. That's why they are very relevant to the sector. They also allow us to make comparisons with certain historical moments or with reference metrics (for example from other companies) when carrying out a Benchmarking. Also they make it possible to reduce errors, reduce costs, optimize processes, enhance profitability and improve productivity.

There are different classes or categories of indicators:

Performance: they provide information on whether the execution of the scheduled activities is being carried out

Productivity: they allow us to compare real values with the objectives that were expected to be achieved, in a certain period of time.

Utilization: they allow us to measure how we use our resources. For example: number of used vehicles

To establish the KPIs we want to measure, we must take into account what the company's objectives and these indicators are. The process that is used for the operation must also be taken into account. On the other hand, reasonable and attainable objectives must be established, in order to then be able to make comparisons that work for the company. For this purpose, the SMART theory (Specific, Measurable, Attainable, Relevant and Time Based) is used, meaning that objective KPIs must be specific, measurable, attainable, relevant or realistic, and timely. As an example, we could say that “making more shipments” is not as SMART a goal as “increasing shipments by 5% in 6 months”. Objectives should be part of a planned strategy to achieve larger goals.

What are the KPIs that we should consider in last-mile logistics?

For the last mile sector, there are many indicators to consider. We'll tell you which are the most relevant to us:

Number of deliveries/stops made and canceled: can be measured per day (total), by zone or per driver.

Reasons for cancellation: establish the most common ones and measure the quantity of each one. Then you can analyze how to avoid these cancellations.

Delivery attempts: How many times was the visit carried out until it was completed

Used vehicles: quantity per day

Kilometers traveled: amount per day or per vehicle

Road time (hours): amount per day or per vehicle

Customer Satisfaction: it is measured through evaluation surveys sent to the customer

Staff/driver satisfaction: is measured through assessment surveys through the system used by drivers

Cost per km or delivery: can take into account different factors such as the price of fuel, the price of outsourcing the service, etc.

All of these KPIs can be analyzed day by day to improve operations and correct errors that may be happening in deliveries. In addition, many of them can be improved by optimizing routes such as the kilometers traveled and the number of vehicles used per day. This makes it possible to considerably reduce costs and also CO2 emissions.

With Routal Planner not only can you plan and optimize your routes in minutes, you can also view them in the Analytical all the KPIs relevant to your business, to be able to work on the continuous improvement of your processes and reduce your operating costs.

Try Planner free for 10 days doing click here.