Automate to innovate: Mobile and Wireless Technology Can Reduce Package Delivery Times By a Third
Same-day package delivery is on the minds of supply chain executives as customers are demanding faster pick-ups and drop-offs. Mobile and wireless solutions key to meeting those customer demands.
According to a recent survey conducted by MHI Member Intermec, transportation and logistics companies around the world believe that arming their mobile workforce with new technology could cut both their pick-up times by 30% and delivery times by 29%, savings which could be crucial in boosting operational efficiency levels and meeting customer demands. The survey also found that 92 percent of transport managers surveyed face significant challenges of meeting same-day delivery requirements
Additionally, 38% of U.S. organizations view operational efficiency as the area of most strategic importance for their business. More than three quarters (77%) of organizations across UK, US, Germany, France, Australia and New Zealand say their customers now demand same-day delivery services.
Most feel that customer demand can best be made through automating key processes in the pick-up and delivery areas, and adopting new technology for drivers such as GPS, mobile and broadband communications. Companies anticipate that by adopting these technologies, the time taken for each pick-up and delivery can be cut by 2.68 and 2.41 minutes respectively, providing a significant boost to the efficiency of the mobile worker.
Other findings:
–Broadband mobile communications (60%), integrated vehicle telematics (44%) and RFID (38%) offer the most promising return on investment
–Efficiency gains from new technology could extend to back office staff as respondents report that they are receiving 6,677 calls per day from customers asking for order status updates
–By providing proactive shipment updates with by location-based and mobile technologies, respondents believe they could eliminate 24% of customer order status calls immediately
–44% of companies feel that process re-engineering is the most effective means of improving operational efficiency levels
–Over a third (39%) have failed to complete a process re-engineering effort in the last year and of these, 72% have not evaluated their existing processes for at least two years.
